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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?


To: robert b furman who wrote (69183)4/12/2004 5:35:36 PM
From: Real Man  Read Replies (2) | Respond to of 94695
 
Not sure I know it -g-. I think there is a possibility of
a derivative meltdown, which would bring LT rates sharply
UP. There is a second possibility, which we REALLY don't
want, because it's the worst one yet. If the Fed decides to
paper over the trillion dollar derivative mess, we'll get
hyperinflation. It's tough to say how many zeroes the dollar
will add THEN. Historically, hyperinflation has always been
the worst financial nightmare. Some associations:

Germany 1923 -> Hitler
Italy prior to WW II -> Mussolini
Yugoslavia in the 90-s -> Milosevic

People want and choose a "strong ruler", which leads
to fascism and a dictatorship. Hopefully, nothing of this
sort happens here, or else it will be time to take a gun
and fight for your freedoms. It seems VERY unlikely in a
political system that we have here, but history tells us
that something very frightening could be expected under
these circumstances. Honestly, I don't know what to expect.
With the current Fed, the worst nightmare (hyperinflation)
seems the most likely one.