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


To: Perspective who wrote (239511)2/26/2010 1:03:24 PM
From: neolibRead Replies (1) | Respond to of 306849
 
I think you are missing the fundamental reason why inflation has remained low. If we were an isolated economic entity and the Fed acted as it has, we would likely have inflation. Instead, our major trading partners strive to keep low currency values relative to ours, because we run a very large trade imbalance with them, and they are net exporters dependent on our excesses. Our own economy can't inflate prices in such a situation. If our producers tried to inflate, they would go out of business.

Put another way, if RE could be imported, it would never have had an inflation bubble either.



To: Perspective who wrote (239511)2/26/2010 1:06:31 PM
From: LLCFRead Replies (1) | Respond to of 306849
 
<Well, now they've done it. And what inflation has it produced? The only things that inflated were the very garbage the Fed purchased. Gee, we got junk bonds and the stock market to jump. Where else has Fed action led to inflation? >

Well, as one of "Austrian" bent, I believe the inflation has happened already, and the purchase by the Fed "makes it real" so to speak... note POG, dollar, price of most other things "not adjusted by idiots".

<So I say again, unless and until we see a further increase in debt monetization and Fed asset purchases, inflation will not be the problem.>

Well, I agree going forward, that is why I'm very concerned about deflation. If the fed stops doing what it is doing even for a year, this market, Gold, and prices are going DOWN.

Either way, unemployment is going UP.

JMO

DAK



To: Perspective who wrote (239511)2/26/2010 1:18:07 PM
From: MulhollandDriveRead Replies (1) | Respond to of 306849
 
bc, watch this short vid by denninger:

market-ticker.org



To: Perspective who wrote (239511)2/26/2010 2:07:35 PM
From: Skeeter BugRead Replies (1) | Respond to of 306849
 
>>Despite all Ben's best efforts, he still appears to be pushing on the proverbial string.<<

every action ben has taken has been to serve the special interests of the banks that privately own the fed.

i do not believe that 1599 SAT bernanke and his 100 phd economists believe this...

market-ticker.denninger.net

is sutainable.

a fifth grader wouldn't believe that chart to be sustainable.

now, baghdad ben can't come out and say he's r*ping the american people to protect his employers from the coming collapse so he doesn't. he talks about "getting back to normal" and a "slow recovery" all the while providing unlimited ability to the banks to dump their trillions in toxic assets onto the people.

and now he's saying that taxes must go up and spending must go down - b/c the fed (private bankers) aren't going to keep printing for the benefit of the government.

washingtontimes.com

"We're not going to monetize the debt," Mr. Bernanke declared flatly, stressing that Congress needs to start making plans to bring down the deficit to avoid such a dangerous dilemma for the Fed.

"It is very, very important for Congress and administration to come to some kind of program, some kind of plan that will credibly show how the United States government is going to bring itself back to a sustainable position."

if the banks are now safe from collapse, i think we could well get a collapse. there is no better time to asset strip citizens than at the bottom of a massive credit collapse.

my eyes are wide open and my head is on a swivel - i'm not married to any ideology. i'm analyzing daily to see where our financial over lords have decided to take us.

i won't be surprised to hear obama's austerity speech - and he'll blame bond vigilantes or someone else.