Edited by nimblebear, 27 April 2007 - 10:33 AM.
Termites in the foundation
#1
Posted 27 April 2007 - 10:32 AM
#2
Posted 27 April 2007 - 10:49 AM
JV
#3
Posted 27 April 2007 - 10:55 AM
I simply do not believe that the Fed and the gov't are going to accept much of an economic slowdown, if they have anything to say and do about it, versus increasing debt/cutting interest rates, even at the cost of further Dollar declines and Dollar cost inflation.Nimblebear: What happens if the economy slows its growth, even if modest ? (i.e. like todays GDP report would suggest.) And then if they get pressured by inflation?
Wasn't one of the Fed's primary reasons for existing, in the beginning, "to defend the value of the US Dollar"? How'd they do?
Of course I could be wrong, but if it's choosing between inflating and deflation, then I say the gov't is gonna go with continuing to blow the balloon up.
Doug
#4
Posted 27 April 2007 - 11:06 AM
I simply do not believe that the Fed and the gov't are going to accept much of an economic slowdown, if they have anything to say and do about it, versus increasing debt/cutting interest rates, even at the cost of further Dollar declines and Dollar cost inflation.Nimblebear: What happens if the economy slows its growth, even if modest ? (i.e. like todays GDP report would suggest.) And then if they get pressured by inflation?
Wasn't one of the Fed's primary reasons for existing, in the beginning, "to defend the value of the US Dollar"? How'd they do?
Of course I could be wrong, but if it's choosing between inflating and deflation, then I say the gov't is gonna go with continuing to blow the balloon up.
Doug
I agree 100%. as long as Paulson is heading the PPT any intermediate selloff will be met with unlimited repos. I can see Japan cutting their interest rates at any sign of slowdown. Not just to the moon, to the outer edges of the comos. Next generation can clean up our mess!!
#5
Posted 27 April 2007 - 11:17 AM
Edited by pdx5, 27 April 2007 - 11:20 AM.
#6
Posted 27 April 2007 - 11:19 AM
I simply do not believe that the Fed and the gov't are going to accept much of an economic slowdown, if they have anything to say and do about it, versus increasing debt/cutting interest rates, even at the cost of further Dollar declines and Dollar cost inflation.Nimblebear: What happens if the economy slows its growth, even if modest ? (i.e. like todays GDP report would suggest.) And then if they get pressured by inflation?
Wasn't one of the Fed's primary reasons for existing, in the beginning, "to defend the value of the US Dollar"? How'd they do?
Of course I could be wrong, but if it's choosing between inflating and deflation, then I say the gov't is gonna go with continuing to blow the balloon up.
Doug
I agree 100%. as long as Paulson is heading the PPT any intermediate selloff will be met with unlimited repos. I can see Japan cutting their interest rates at any sign of slowdown. Not just to the moon, to the outer edges of the comos. Next generation can clean up our mess!!
" next gen can clean up our mess"????.....the last generation left it to your generation to clean up the old mess......so why did you just make a bigger mess???
#7
Posted 27 April 2007 - 11:34 AM
I simply do not believe that the Fed and the gov't are going to accept much of an economic slowdown, if they have anything to say and do about it, versus increasing debt/cutting interest rates, even at the cost of further Dollar declines and Dollar cost inflation.Nimblebear: What happens if the economy slows its growth, even if modest ? (i.e. like todays GDP report would suggest.) And then if they get pressured by inflation?
Wasn't one of the Fed's primary reasons for existing, in the beginning, "to defend the value of the US Dollar"? How'd they do?
Of course I could be wrong, but if it's choosing between inflating and deflation, then I say the gov't is gonna go with continuing to blow the balloon up.
Doug
I agree 100%. as long as Paulson is heading the PPT any intermediate selloff will be met with unlimited repos. I can see Japan cutting their interest rates at any sign of slowdown. Not just to the moon, to the outer edges of the comos. Next generation can clean up our mess!!
" next gen can clean up our mess"????.....the last generation left it to your generation to clean up the old mess......so why did you just make a bigger mess???
I agree, the Fed only knows one trick, and that is massive liquidity. Wish I knew the date when the music stops!
#8
Posted 27 April 2007 - 12:03 PM
... I'm surprise there wasn't more interest is what I think was the
LARGEST 1 day CASH MOVEMENT by the Fed's I have ever seen.....esp on a Wednesday !!
Now up until last Wed. I had seen the usually high Thursday's go upward into the HIGH twenty-eight to
tenty-nine BILLION ONLY a few times.....EVER!
BUT....... as you can see last Wed. when the market headed lower in the morning ....allowing me to exit my
shorts at even to a small gain on the RUT..... the FED started pumping,..and when it was done they had went three times that day!
The market rally and Break Out ... well it was Spectacular and off the charts,...
.... just like the Fed Money Pumping CHART below!
April 25th
..Exited the short RUT this morning took 50% to the Long side. There may be other plans for the 50% in cash.
My st Rut Indicator is setting up,...what is a very bullish pattern ... this combined with todays liquidity situation and
what looks to be some extra support here from the fed... and it is just to dangerous for me to remain short today
April 25th FED am post
Edited by Mr Dev, 27 April 2007 - 12:07 PM.
.. .. ..
Mr Dev
......trading is basically a simple operation, but you have to be a genius to understand the simplicity.
.....timing,..... is ....everything !
... remember no guessing visit MrDev!
#9
Posted 27 April 2007 - 12:04 PM
#10
Posted 27 April 2007 - 12:10 PM
JV