Fed Blind to Current Inflation
source: http://www.thestreet.com/story/10986498/1/fed-blind-to-current-inflation-daves-daily.html?cm...
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- rodstradamus
- added this
http://www.thestreet.com/story/10986498/1/fed-blind-to-current-inflat...
The FOMC statement once again included language "the underlying (code for 'core' rate) rate of inflation is trending lower." This, of course, excludes just about everything important you use everyday--food and energy. In some places of the world there are food riots. Prices you're seeing at your supermarket are beginning to sky. The Fed announcement Wednesday continues the policy of completing the purchase (monetizing) of more Treasury debt. Immediately after the announcement commodities rallied sharply as the Fed is giving them the green light.The other interesting rationale is that economic growth is too slow and won't generate jobs. Did QE1 produce jobs? Has QE2 generated jobs to date? No. U.S. companies may continue to create neat gadgets but they're all being assembled/built overseas. Nothing in this policy will change that stubborn fact.
Naturally, a continuance of this policy also green lights more POMO and higher asset prices overall and could build another bubble that Bernanke & Co were blind to last time.
more at link...
The Creature from Jeckyll Island (look it up) must be destroyed.
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samthesixth
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When a person's head is in their ass, it is hard to see.
- 2 years ago
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samthesixth
