Jim Re- 'My guess is we first go to double digit inflation and we end up with a period of deflation that results from the unwinding of the credit bubble. The only question is timing.'
We already have double digit inflation in my opinion.
Taxes, insurance, education, medical and healthcare, energy, food and on and on.
Gasoline prices are where the public perceives, believes and feels inflation.
$4 gasoline and all hell breaks loose.
Yellow Freights CEO says we're already in a recession. I'm curious to see Best Buy's numbers and UPS & Fed Ex.
Deflation will happen when regardless of rates- no one wants to borrow- just like Japan.
The US has the same aging population demographics, the same bubble deflation- but, one difference. A near inbred addiction to debt, credit and spending. It's a part of our culture. And the young kids are the worst. That may be the only thing that saves America from a Japan-like deflation.
Our culture of spending and our obesession with material objects.
And as far as timing is concerned. Unfortunately, for 95% of gold bugs and bears- the timing hasn't been so profitable. Timing is everything. You can be wrong on the what and why, but right on the timing- and still get paid. You can be right on the why and what, but wrong on the timing and not get paid. Unfortunately for some- trading is ALL about timing.
Those that can- do, those that can't- say they are 'buy and holders' for the long term <VBG>!
Greenspan? Can you believe the media is allowing this egotistical, POS a book tour on prime time to defend his legacy? The arrogant 'I'm smarter than the rest of the world' asshole created this mess- to preserve his legacy and allow his exit. He should be villified, tarred and feathered.
I hope some reporter has the balls to rip his asshole wider than the Holland tunnel- because that's what he deserves.
Ron |
