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To: Ken98 who wrote (57487)8/19/1999 11:06:00 PM
From: pater tenebrarum  Respond to of 86076
 
Ken, i think not yet. i believe they are simply accommodating record levels of credit demand. note that e.g. margin debt alone is at an all time high of nearly 200bn. coupon passes are permanent reserve additions, so it is not a temporary phenomenon.



To: Ken98 who wrote (57487)8/20/1999 2:27:00 PM
From: Ilaine  Respond to of 86076
 
I have been thinking that the injection of liquidity is intended to avoid what happened in 1929-1933, which was in large part caused by lack of liquidity, deliberately caused by the central banks. It's long been accepted belief that injection of liquidity would have kept the Big Crash from happening. But I think we are in uncharted territory now.

Magner would tell you "da bigger da boom, da bigger da bust." All I can say is, we're about to find out.