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 : Heinz Blasnik- Views You Can Use -- Ignore unavailable to you. Want to Upgrade?

To: NOW who wrote (34)	4/9/2003 10:14:23 PM
From: Box-By-The-Riviera™	Respond to of 4913

thanks!

To: NOW who wrote (34)	4/9/2003 11:11:12 PM
From: jrhana	Read Replies (2) \| Respond to of 4913

Clearly there will limitations in what can be done with monetary policy then comes fiscal policy ie massive deficit spending There is no other way A deflationary depression cannot be allowed here

To: NOW who wrote (34)	4/10/2003 3:29:59 PM
From: yard_man	Respond to of 4913

that was a very nice article! -- very clear rebuttal to the BS coming out of the Fed -- Is he calling Bernanke, the new Fed Chairman, a ninny before he even gets started?? <vbg>

To: NOW who wrote (34)	4/10/2003 4:13:50 PM
From: Jim Willie CB	Read Replies (1) \| Respond to of 4913

Fed's only option here is to debase US$, risking death I am constantly fascinated by how almost every single action taken by the Fed since 1994 has been destructive it often provides some measure of relief on an immediate basis but after the initial medicine wears off, the result is much worse by diverting the bubble into Real Estate and Mortgage Bonds, the Fed has created the blueprint for a US Depression all it takes is for those bubbles to deflate I expect the Real Estate (hard asset impostor) to deflate first, since the Fed will assist the continued levitation of mortgage finance but it can do little to support buyer interest, nor prevent layoffs Shostak is on my Genius List he has harped on the theme of a POOL OF REAL FUNDING for a long time I regard it as an extension of the Gresham Law "bad money pushes out good money" in this case "bad newly printed fiat money pushes out less bad backed credit funds" I expect world collective sympathy to support the USDollar it will steadily remain based in confidence, longstanding belief in the viability of our capitalist system, responsible responsiveness, blah blah blah then move toward self-interest in supporting the economy which is their engine, the home of their export customers, keep the giant supermall alive finally, self-preservation will lead to abandonment nothing will matter except getting money out of the USA I anticipate three factors to mark the final step: 1. US economy falls into recession 2. US economy begins to realize price inflation 3. US federal deficits become monstrous (domestic + war) the Fed will make a very large error of judgment THEY WILL EXPECT FOREIGNERS NEVER TO TURN THEIR BACKS ON USA, thus continuing to hold TBonds as losses mount they will expect them to continue to finance our TrezBonds this will be their critical error the error will become evident when the Fed kicks into 3rd gear their fabled high-tech printing press the USA has seriously abused its privilege as world currency what is the limit? we are soon to witness just that, the limit / jim