Thursday, April 21, 2011

ERECTILE DYSFUNCTION ECONOMY

Even after QE2 comes to an end, Bernake led FED does not intend to let nature take its course. The FED will continue to reinvest into Treasuries and continue its program of manipulation of the markets and interest rates.

It has come to an issue, where it can ill afford to discontinue operations when the patient has not really come out of its coma, the losses at the big banks have been both foisted onto the public and hidden by change in accounting rules...because since mark to market was extinguished in early 2009....appearences are everything.

With commodities seemingly hitting new highs every day, with the dollar hitting fresh lows at the same time, it is clear what the intention is, what the policies are meant for.

Gov't data on inflation, employment and almost anything is seasonably adjusted and revised the next week...continuously.

Understanding what the REAL issues are, and how we got HERE have me very defensive and I have said riding the trend has been fun, but this party is not built on sustainability or carefully thought out policy which will need to growth and a healthy economy.

On the contrary, the economy, and markets cannot stand on their own 2 feet, the CRACK ADDICT must have its FED Induced fix....or go flacid

D

No comments: