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Strategies & Market Trends : The coming US dollar crisis

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To: Skeeter Bug who wrote (24035)11/8/2009 7:18:50 AM
From: Real Man2 Recommendations  Read Replies (1) of 71407
 
The Fed, I think, although banks also benefit from the new
asset bubbles caused by liquidity. Nobody else does, and
I think that's a problem.

I agree with you, although my time frame is different. I think
it will take some time, and the second wave of the credit
crisis will probably start next Fall. We will have a double
dip recession.

My reasoning?

1) Fed QE program ends in March. It will take some time for
the system to work through all that liquidity.

2) The next mortgage Black hole reaches its nadir in the
Fall of 2011

3) Whatever some smart folks anticipate, it always takes
longer <G>


That said, who knows. Not that it's impossible for the
markets to decline right now. Stocks are quite overvalued
at the moment, and valuations are supported by liquidity only.
However, that liquidity is still flowing ...
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