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Strategies & Market Trends : Steve's Channelling Thread -- Ignore unavailable to you. Want to Upgrade?


To: jhg_in_kc who wrote (14268)4/9/2001 6:37:00 PM
From: Zeev Hed  Read Replies (1) | Respond to of 30051
 
Interest rate rise next Spring/Summer and excess valuation.

Zeev



To: jhg_in_kc who wrote (14268)4/9/2001 6:49:48 PM
From: Jim Willie CB  Respond to of 30051
 
if I may... on rapid top upcoming in 2002-03 timeframe

the economy will be "puffed up" by more of the same incompetent policymaking by the Federal Reserve
the excessive liquidity is very likely to temporarily prop up the economy, with much of the capital finding its way into equity markets, but with less than optimal usage in the building of ever increasing mfg capacity and Info Tech capacity

so the economic expansion will be capacity topheavy
I doubt the Fed will stand idly by and wait for the requisite 18-24 months for excess capacity to work itself out
instead they are likely to pump prime once more, in an absolutely amateurish fashion, with much grandiosity, and earn once more the plaudits from the ignorant masses as "having saved the economy"

when all the Fed would be doing is hitting the other guard rail after hitting this one in 2000
like a drunk driver, exactly like one
driving with blurred glasses, and one headlight broken

not humble, just angry, and very unimpressed with Fed
/ jw