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Monday, March 17, 2008

Inflation

FT.com: Fears that new liquidity cycle will stoke inflation
The Fed is expected to cut US interest rates by 75 basis points to 2.25 per cent, following its recent, more aggressive policy moves to improve liquidity conditions.

...the clear danger is that easier monetary policies will cement a new regime of higher global inflation...

3 comments:

Glynn Kalara said...

Desperation move. Its like kicking a dead horse or better yet sticking a cattle prod up his butt. Won't work the horse is DEAD. All the lowering of % rates will do is help the banks by making the spread bigger for them. The BV$H goons have decided the best way to finish off the middle class once and for all is inflation and then once your $$ are worthless a depression and super deflation. The 20's X1000. These assholes are one evil bunch of MOFOS! If people are scared shitless and worried about their jobs and savings they won't care if a police state takes over for a few centuries will they? The velvet gloves are off my friend its all downhill from here. Don't count on an election this fall. My bet is they'll triple down with a war in Iran that will drive OIL to 500 a barrel over night and destroy the economy.

Maybe its better if we get it over already. Then we can try and catch and hang these fuckers!

Jim Sande said...

There is a sense of desperation to the central bank's actions. Plus the financial news gets worse each day.

My prediction for this week is that most stocks continue to lose value. Then comes the news of the interest rate cut, stocks have a one day rally, then they fall off again the next day.

Its like a pre-planned pre-announced action for the 'profit takers.' Ring some 'value' out of the stock market somehow. The news will read that markets rallied, then the economic news will get bleak again

There's also a very bizarre feeling tone to the election process. Its like the Democrats can't screw it up fast enough.

Did you read the comments on the economy by Paulson. He says the $600 rebates are going to create 500,000 jobs. WTF?

The news in general seems very dark. The news is always dark, but the types of crimes, the rate of the crimes, and the intensity - very despicable human on human behaviors - its seems like its up a notch. You feel that?

Glynn Kalara said...

Yep, its like these evil bastards are pulling out the stops now to hang on to power as many of us predicted. having killed hundreds of thousands and trashed the dollar and the Constitution its time to finish the job. The banks were doomed way back when they started thinking that they could just hand out jumbo Mortgages to people with triple ZZZ credit and 20 credit cards. Greenspan got out fast when he saw it starting to shred and he left it all to poor old Ben B. What a thankless task he has. Caught between a rock and hard place. if he lowers we get hyper-inflation if he raises we get a deeper Recession. Damned if you do and damned if u don't! As for Paulson he's just another pathetic BV$HCO conman without a soul. 500K jobs where in China and India?

These bastards have sold us all down the friggin River and when its over they all will sail away on their million dollar yachts to sunny places. You can bet the whole bunch has plans to dine on Champagne and lobster from now till doomsday and the way things are heading that might not be far off.

I have seldom in my 59 yrs. seen things come apart quite so fast nor as badly. But then we could all see it coming from day 1 Dec 12th 2000 if only we had wanted too. That was really the end of the line for our our poor old Republic wasn't it? From there to here was almost a sure bet.