Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: GraceZ who wrote (3820)	12/12/2001 3:16:57 PM
From: ahhaha	Read Replies (2) \| Respond to of 24758

Yes, but that takes time and FED couldn't let it get to that point. In order to save their own function they would raise rates. That is, they would allow the market to raise rates by not feeding funds into the market to prevent rates from rising. We aren't in that regime yet. The market is completely clueless about a proper rate since their discovery mechanism has been precluded from operating for years by FED intervention. So the banks, the fed funds market, glibly goes along with whatever FED specifies. That will change when conditions deflate the value of loans through price inflation. These fools who talk about deflation obviously don't do the food shopping for their families. After 911 price increases in the supermarket were on hold, but that's over. The fun jump though comes in January.