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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Vosilla who wrote (58888)	4/20/2006 1:36:53 PM
From: bond_bubble	Read Replies (1) \| Respond to of 110194

John, Deflation starts after credit bubble is bust. Until the bust, there will be boom. i.e there will be inflation until the bust. Bigger the inflation, bigger the deflation. I know you are losing your patience - but you need to be patient. For deflation to happen before the prices fall, credit must be extinguished. Because of credit extinction only you will have deflation. Is the Fed going to voluntarily bust the credit? No. The market will have to do it for the Fed!!!

To: John Vosilla who wrote (58888)	4/20/2006 1:38:48 PM
From: shades	Respond to of 110194

DJ IMF's Rato: Free Trade Key For Global Growth - TV . By Steven C. Johnson Of DOW JONES NEWSWIRES NEW YORK (Dow Jones)--Free trade and more open economies have played an instrumental role in advancing global growth, and a relapse into protectionism would hurt advanced as well as emerging economies, the head of the International Monetary Fund said Thursday. In an interview with Bloomberg TV, IMF Managing Director Rodrigo Rato said unfettered movement of goods and services across borders has benefitted rich and poor countries alike. "To stop free trade and the free flow of people and goods will be a huge mistake," he said from Washington, D.C., where the IMF, World Bank and Group of Seven finance ministers and central bankers are gathering for their spring meeting. The advanced economies of the U.S. and European Union stand to lose as much as the developing world should markets become less open, Rato said, adding that both should continue to dismantle agricultural subsidies that hurt farmers in emerging markets. "We think there is an opportunity for richer nations...to open their gates, to open their frontiers to free trade in agricultural products," Rato said. But he also urged developing states to do likewise. "Emerging economies have benefitted greatly and will benefit more in terms of trade and investment in a free world. But to do that, they have also to open their frontiers." He also said it is in the long-term U.S. interest to increase its rate of savings, both in the public and private sector, which would help chip away at global imbalances. The U.S. spends far more than it saves and imports far exceed exports, leaving the country's current account - the broadest measure of trade and investment - in the red to the tune of about 7% of gross domestic product. Rato also warned that current elevated energy prices look set to stay high for some time to come. Earlier, he said during a press conference that oil prices are more likely to affect inflation now that these are being driven increasingly by concerns about supply rather than robust global demand. - By Steven C. Johnson, Dow Jones Newswires; 201-938-2018; steven.johnson@dowjones.com (Elizabeth Price in Washington contributed to this report) (END) Dow Jones Newswires April 20, 2006 11:35 ET (15:35 GMT)

To: John Vosilla who wrote (58888)	4/20/2006 1:39:32 PM
From: shades	Respond to of 110194

Zimbabwe Unveils Econ Recovery Plan; Seeks $2.5B Invest . HARARE, Zimbabwe (AP)--The government is hunting for investment and cash to pump into a massive economic revival program, state radio reported Thursday. Economic Development Minister Rugare Gumbo unveiled a new action plan aimed at "stabilizing" the economy within the next nine months, the radio said. In the first three months the equivalent of $2.5 billion would be sought in cash and investments to revive key sectors of the economy under a program formulated by a Soviet-style National Security Council of state officials and military and intelligence chiefs headed by President Robert Mugabe. The National Economic Development Priority Program sought also to reduce the country's debt and restore its image abroad, the radio said. A leading independent economist voiced doubts the program would ease the southern African nation's dire economic woes. John Robertson said the country was only managing to survive by consuming its reserves and savings. "It's like eating your left leg knowing your next meal is your right leg," he said. Zimbabwe is suffering its worst economic crisis since independence in 1980, with acute shortages of hard currency, food, gasoline and essential imports. About 3.5 million Zimbabweans fled economic hardships at home and are living and working abroad, according central bank estimates The economic decline, with record inflation of 913%, the highest in the world, has been largely blamed on political turmoil and disruptions to the agriculture-based economy since the often violent seizures of more than 5,000 white-owned commercial farms began in 2000. Robertson said Zimbabwe's inflation rate compared to an African average of just below 10%. Average per capita income in Zimbabwe, reflected in the shrinking Gross Domestic Product, had fallen by half to less than $1.00 a day. The radio report said separate committees, or task forces, of government and private sector leaders were set up to coordinate renewed agricultural production, local and foreign investment, increase ties with Asia under a "Look East" policy and take steps to promote business and stop a brain drain of skilled professionals. "It is hard to see how we will restore investor confidence in the current environment unless we are counting on China or Russia to take up the options," said Robertson, the independent Harare economist. Mugabe, on the 26th anniversary of independence Tuesday, said the government was pressing ahead with plans to seize 51% control of Zimbabwe's mining industry. Power outages have become an almost daily routine across the country, crippling factories and businesses. Zimbabwe imports more than 30% of its power from neighboring countries but lacks the foreign currency to settle its external debts. Two of country's coal-fired power stations have also been shut down by mining breakdowns and shortages of equipment and transportation. (END) Dow Jones Newswires April 20, 2006 11:40 ET (15:40 GMT) Copyright (c) 2006 Dow Jones & Company, Inc.- - 11 40 AM EDT 04-20-06

To: John Vosilla who wrote (58888)	4/20/2006 2:16:36 PM
From: shades	Respond to of 110194

Peru February Fish Meal Output Down 7.2% On Year (how does grandma hedonically switch to dogfood?) LIMA (Dow Jones)--Peru's fish meal production fell 7.2% to 31,100 metric tons in February 2006 compared with the same month a year earlier when fishmeal production was 33,500 tons, the Ministry of Production said in a report Thursday. The anchovy haul, used to make fishmeal, reached 137,300 tons in February, down 11.3% compared with the same month a year earlier. The haul was lower, according to the ministry, due to a ban on anchovy fishing to allow for spawning along parts of the coast. Peru is the world's largest producer and exporter of fish meal, used chiefly as animal feed. The total fish haul was 224,600 tons in February, down 3.7% compared with February 2005. Meanwhile, Peru exported 144,800 tons of fishmeal in February compared with 74,200 tons in the same month a year earlier. The bulk of the fishmeal exports went to China, Germany and Japan. Peru's overall fish exports brought in $136.8 million in February, up from $96.8 million in February 2005. -By Rebecca Howard, Dow Jones Newswires;511-221-7050;peru@dowjones.com (END) Dow Jones Newswires April 20, 2006 12:43 ET (16:43 GMT)