It looks as if the Federal reserve attempts at reflation might be ballooning up the economy, but its going to blow up in all of our faces. Right now we are on the verge of huge inflationary period and the Federal REserve is rudderless to do anything about it. Everyone expects the Fed to hold interest rates steady for the next year, because an increase in interest rates would really crush the economy rights now. But low interest rates = low dollar and that means higher prices for the ordinary consumer. Now put that along side the increase in the money supply and the dollar is really going to be hurt. In fact, a comment on CNBC claims that the dollar may hit $1.50 against the Euro by the end of the year. the comment is at minute 2:45.
http://www.cnbc.com/id/15840232?video=1 … amp;play=1
Hooray, looks like oil is going up to $100+ a barrel again, now that's money that will be taken right out of the pockets of consumers. Look for a new round of foreclosures and another collapse if consumer prices go through the roof.
And the so called rally on Wall street is a real fools market. The reflation is only reflating the prices and not the real value of the stocks. When everything is said and done the stocks are only going to be worth what they are now when you adjust for true inflation and the devaluation of the dollar. and if we have another collapse after that then we will have a crappy economy, a dead dollar, high debt, impending high taxes and crushed stock market.... now that's something to look forward to.
This reflation policy will do nothing but inflate the sticker price on everything, in fact the only segment of society that will benefit from this will be the banks and the credit market because the sticker price on their security on their past loans will be reflated to reflect the paper value given on the credit instrument.
YAHHHHH save the creditors, and screw the rest of the economy. Its like how the water rises in the toilet bowl just before the swirling vortex sucks everything down. I would look for the collapse to happen just after the 2010 election cycle but if what happened to Bush is any indicator it will probably happen August 2010 in the middle of campaigning - bye-bye dumocrats that what you get for listening to goldman sachs.
http://www.cnbc.com/id/15840232?video=1 … amp;play=1
Hooray, looks like oil is going up to $100+ a barrel again, now that's money that will be taken right out of the pockets of consumers. Look for a new round of foreclosures and another collapse if consumer prices go through the roof.
And the so called rally on Wall street is a real fools market. The reflation is only reflating the prices and not the real value of the stocks. When everything is said and done the stocks are only going to be worth what they are now when you adjust for true inflation and the devaluation of the dollar. and if we have another collapse after that then we will have a crappy economy, a dead dollar, high debt, impending high taxes and crushed stock market.... now that's something to look forward to.
This reflation policy will do nothing but inflate the sticker price on everything, in fact the only segment of society that will benefit from this will be the banks and the credit market because the sticker price on their security on their past loans will be reflated to reflect the paper value given on the credit instrument.
YAHHHHH save the creditors, and screw the rest of the economy. Its like how the water rises in the toilet bowl just before the swirling vortex sucks everything down. I would look for the collapse to happen just after the 2010 election cycle but if what happened to Bush is any indicator it will probably happen August 2010 in the middle of campaigning - bye-bye dumocrats that what you get for listening to goldman sachs.
