Sunday, April 07, 2013

MUSICAL CHAIRS AND WHEN DOES THE MUSIC STOP?

http://www.prudentbear.com/2013/04/kuroda-leapfrogs-bernanke.html Doug Noland at Prudent Bear

"Fed, BOJ, BOE, ECB and others have been working desperately to keep investors and speculators fully engaged in global debt, equities and risk markets. With near zero interest-rates and Trillions of monetization, “money” is being methodically devalued around the world. Federal Reserve devaluation is forcing savers out of “money” and into risk markets, apparently believing that asset inflation will spur wealth-creation, risk-taking and economic activity."

Holy print mania Batman! Friends, is printing money the answer to the EVIL that has befallen us??
And they don't seem like they have any intention of stopping.

You cannot hide under any rock, nor put your monies under you bed nor pillow case, as the CB'ers are determined to destroy our concept of fiat currencies. You have a problem, just print some more money (digitally) and it goes away?

In the history of this country, is there any example you can give me where you can PRINT YOUR WAY TO PROSPERITY? INFLATE DEBT AWAY? Are we fighting DEFLATION?

What happens when people realize that money may not be the trusted store house of value it was supposed to be and not a toy to be played with by the Federal Reserve System built and entrusted with sound money as one of their main reasons for being? Why are they NOT protecting our reserve Currency? Now in competition with others, like Japan in a race to devalue their currency's value to help inflate debts away? Debts incurred partly because of their inept and wrongful policies on interest rates to begin with?

Devalue your currency and watch your risky assets rise by over 20% ? That's the Nikk. Japan one of the most indebted countries in history? 290% of GDP

Fridays "employment" (or lack of) report shows the folly of the current 5 years of FAILED FED POLICY of trying to force every saver from their hole into the stock market. SHAZAAM it worked to rally stocks to new highs......f the fact that the REAL economy didn't come with it.

What will happen when the music stops? doesn't it always? Markets go in cycles, always have, always will. 5 years for cyclical Bull mkt is long int he tooth.

WILL the policies enacted and forced upon us the last 5 years comeback to bite us in the ass? I think so. WHAT happens if the avg Joe finally up and leaves the asset markets for good, realizing it for the PONZI SCHEME IT IS?

It's great when unemployment rate can drop because so many en masse drop out of the labor pool? SEEING NEW LOWS not seen since the 70's in the LABOR PARTICIPATION RATE doesn't bring anyone else to pause or question current policies for their effectiveness.

Where is our country headed where near 0% rates encourage the government to continue its deficit policies and as national debt continues to grow by a $trillion or more each year, added to what we cannot already pay back....ever? This folly is made possible by historical low interest rates.....surely they will last forever.

No comments: