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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?


To: jim black who wrote (1919)2/16/2001 2:24:59 PM
From: Tommaso  Read Replies (1) | Respond to of 74559
 
Actually the latest MZM and monetary base graphs show a reversal in money supply:

stls.frb.org

Although (since we aren't on a gold standard) this eems unlikely to go very far, it may be a sign or recession and a contracting of credit --and could easily go along with a general decline in equities markets and other economic problems.

In any case, with the PPI number at 1.1% for one month, there is now less likelihood of the Fed doing another surprise rate cut to try to hold the markets up or forestall recession.

If there are no more rate cuts for a few months, along with continuing bad news about profits, layoffs, etc., this nine-lived bubble might have finally expired.