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Strategies & Market Trends : Drillbits & Bottlerockets -- Ignore unavailable to you. Want to Upgrade?


To: MulhollandDrive who wrote (10996)5/12/2001 7:32:24 AM
From: Augustus Gloop  Respond to of 15481
 
Money supply - based on debt there is to much already.

The Fed - The fed sealed its fate last year IMO. They allowed the dreaded wealth affect to implode at a time where had they just stopped f*cking with things they would have been better served. It was obvious early last summer that energy was going to be a problem. Now we have a two headed problem - Lack of wealth affect and energy troubles. I'm almost sure this will lead to a third which will be inflation. The bread truck just wont run on air <g>

Will energy stabilize - Not for a while. I don't think we have seen its peak yet nor will we until we can process more than we need. As it stands now that will take some time.

I dunno. Maybe I'm just mad that we had to see the cycle end but it seems to me the fed could have done a better job. I don't remember the exact dates but we went from being inflation hawks to cutting over concerns of recession in a very short period. Now we have seen what?? A 200 bp move down in rates in 5 months.....soon to be 250 points? Seems a little fast for a fed that was just hawkish.