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To: reaper who wrote (81071)	12/23/1999 5:39:00 PM
From: Ken98	Respond to of 86076

Why doesn't she just come out and admit that the vast majority of that "money" consists of nothing more than electronic credits at the Fed. Only a small portion is made up of pieces of paper "pooling up in bank vaults": <<Surplus vault cash, which excludes cash banks hold to satisfy reserve requirements, rose 106 percent in November to $17.3 billion from $7.8 billion a year ago. ``The real explosion in currency was in the month of November. The numbers so far suggest most of that is on the books of commercial banks,' said Crandall. ``This has never been seen. Nothing like this has ever happened.' Anticipating greater domestic demand for currency in this period, the Fed ordered printing of $50 billion in extra cash.>> When you look at the M3 figures it is clear that the banks aren't just sitting on a mountain of cash - they are loaning it out at breakneck speed. The NDX is PRECISELY where the balance of all of that "money" ended up, not some bank vault in Tulsa.