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


To: bart13 who wrote (91460)2/9/2008 7:10:09 PM
From: Real Man  Read Replies (1) | Respond to of 110194
 
Interesting. Inflation is not exactly low, and real rates are
not exactly positive. Bad for further inflation. Does the Fed
control anything but rates in these operations? I mean, should
the total operations outside the coupon passes be then
determined by demand for Fed funds?

Last time inflation got this high US was worried
about hyperinflation, and Volcker just killed it by raising
rates to the sky. This Fed policy and the lies are definitely
fueling it, we are almost at the peak, and the Fed slashes
rates to 3%. That's -9% real yield, lies included. Today it's
not reported that high, because of the lies, but even with
what's reported yields are negative. Maybe with more
CPI revisions inflation will subside. Those will definitely
be necessary. -g-