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To: LLCF who wrote (186837)	8/9/2002 9:13:16 AM
From: stan_hughes	Read Replies (1) \| Respond to of 436258

LLCF - I was kind of looking at it that way too. A case of the Fed herding the cattle into stocks to support equity valuations, and all the corollary valuations that go with it, e.g. pension funds. Since the domestic citizenry earns in US$, using the Fed's power to destroy bond coupons and to destroy gold will succeed in prodding people to buy even expensive stocks. Not many have the smarts or the wherewithall to step outside those orbits with their investments. That keeps bringing me back to the USD. The above herding technique only works in a closed system, i.e. where funds do not exit the loop and must be recycled somewhere else inside the system. If the funds leave the country, that's another matter. However, I'm left more and more with the impression that Greenie is confident that the global hot money has nowhere else to go. Sucker might actually get away with it.