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

To: ggersh who wrote (29320)	7/17/2010 4:26:42 AM
From: Real Man	1 Recommendation Read Replies (2) \| Respond to of 71408

Some shadow banking activity is definitely going on, but I don't think it's the Fed. This kind of activity has been going on for some time already. These are probably due to some swap arrangements, USD instruments bought in Europe to cover blow ups, similar to 2008. Both the Caribbean and London are just global financial intermediaries. Caribbean activity is a lot more shadowy than London activity. The Fed has printed a lot already, and all banks have to do is to apply the banking multiplier (10x or more). Once that happens, inflation will take off. So, whatever they do, they do. Hard to know exactly. Money is someone's debt these days, banks sure can multiply the Fed's printing effort, which is already there, on their balance sheets.