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

To: russwinter who wrote (75746)	12/15/2006 12:25:00 PM
From: John Vosilla	Read Replies (1) \| Respond to of 110194

Russ this was a quote from the prior post by Mish. Comment on inflation being rampant in the 90's but masked by technology? 'How many times do I have to say that that [price] inflation was masked in the 90's because of productivity changes, disruptive technologies like the internet, globalazition, global wage arbitrage, and finally because monetary policy fueled a stock market instead of prices. That is EXACTLY why putting prices ahead of monetary policy is like putting the cart before the horse. Inflation was rampant but it was masked by other factors' I personally wish you were around more on this board to discuss points like this that deserve the attention and debate here. 'In the end we will have a country like Brazil (only with nicer houses), and I'm certain that a credit rating that supports a 4.50% 10 year Treasury will not be even remotely deserved'

To: russwinter who wrote (75746)	12/15/2006 12:30:21 PM
From: John Vosilla	Respond to of 110194

'For you to be focusing on deflation and engaging in circular debates on it, when in fact there is and has been serious inflation, is just what the Boyz want to hear to finish the job' Yes the talking heads both in DC and on Wall Street still peddling the low inflation theme on the masses.. All the Brazilians buying homes in my area know better. Perhaps with English as their second language they don't watch CNBC or read Mish's blog to get the real scoop<g>

To: russwinter who wrote (75746)	12/15/2006 12:45:27 PM
From: mishedlo	Read Replies (2) \| Respond to of 110194

Russ I challenged you to support your claim of rising trajectory on prices. You have twice declined to provide any proof. I ask one more time and then I will drop it. You simply can not do so other than by pointing to longer timeframes. On the other hand I freely admit we have an amazing expansion of credit (still going on). I talked about this many times. It is part of the box Bernanke is in. Interest rates are now no longer supporting any productive activities or consumers, but are still supportive of financial speculation. That is the bottom line of it all. I have to call you on it when you keep harping on PAST price inflation while mentioning a CURRENT trajectory on prices. The current trajectory on all kinds of prices is DOWN. Some of them WAY down and I think copper is likely to fall to 220 giving up the ENTIRE parabolic spike. Mish