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To: pater tenebrarum who wrote (2988)7/10/2000 6:30:13 PM
From: UnBelievable  Read Replies (1) | Respond to of 436258
 
Heinz - I have come to have the greatest respect for you economic knowledge and perspective. There is only one thing I don't get.

What is it with you and XAU?<GG>



To: pater tenebrarum who wrote (2988)7/10/2000 7:45:39 PM
From: KeepItSimple  Read Replies (1) | Respond to of 436258
 
>the thinking behind the Fed's schizo ad-hoc policy is that they can fight
>inflationary psychology by raising rates and at the same time keep the
>bubble from imploding by pumping liquidity into the system.

Sounds like a good plan to me! It reminds me of a popular method of shooting heroin (a depressant) along with cocaine (a stimulant) at the same time. The two drugs cancel each other out to some extent- allowing you to take far more of each than you normally could without having a fatal overdose.

It's called a speedball. I hear it feels really really good, and lets you keep getting high even when your body tells you to stop by building your tolerance up.

Only problem is that if you do speedballs long enough, you'll eventually screw up the balancing act and kill yourself. Almost all high profile drug deaths are caused by speedballs that weren't mixed "exactly right"

The only difference is the fed is playing with the economy of the free world, where a speedball user is only playing with their own life.

Who's the bigger villan?