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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?


To: Secret_Agent_Man who wrote (18366)3/8/2009 5:37:52 AM
From: Real Man  Respond to of 71456
 
Depositor's money at the Fed - reserves component of
adjusted monetary base. This is "deflation", Fed's mistake,
or deliberate policy to take the dollar up. Note a reversal (!)
It will continue. Why? Cause. The Fed started paying banks
to keep reserves in September, and paid more than T-bills
until December. Not anymore. It will all come out now
and create a flood of money. -g-

"The rate paid on excess balances will be set initially as the
lowest targeted federal funds rate for each reserve maintenance period less 75 basis points."



federalreserve.gov