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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Tommaso who wrote (113103)	3/27/2008 1:52:30 PM
From: XoFruitCake	Read Replies (1) \| Respond to of 306849

"Looks to me like the Fed has two options left: 1. Destroy the dollar, or, 2. Destroy the equities markets." And there is a 3rd choice that Fed is not willing to make 3) destroy the credit markets. It is easy to focus on equity market and dollars since we trade them or affect by commodity price. But credit market is the lifeblood for our economy and it is not well. The problem is not limited to mortgage market, the ABCP market for credit card/Auto/Student loan are drying up as well. The credit market contraction is multiple time more than what Fed able to inject money to the economy. Given the choices (and Fed is making the choice), Fed is trying to save credit market.. The Fed minutes has bees saying this all along if one care to read them..

To: Tommaso who wrote (113103)	3/27/2008 1:55:20 PM
From: DebtBomb	Respond to of 306849

I don't know how to respond to that. Prepare for the worst.