“Snow”, I agree with you on both Denninger and Zerohedge. These guys are permanent doomers and their investment advice has been terrible the last two years.
On QE2, I oppose this, but I don’t think it will have any dramatic effect.
Note that the same people that forecast that QE1 would be the end of the world, (Schiff, Denninger etc.) haven’t said much about how QE1 was reversed out with no hyperinflation, or anything close.
For those that think Denninger knows what he is talking about, check this gem from 2009
http://seekingalpha.com/article/150898-holy-cow-look-at-the-treasury-auction-schedule
What? When was QE1 reversed out? AFAIK it was a permanent addition to the base money supply.
Are you sure you know what you’re talking about?
Thanks, I was beginning to think that I was the only conservative who'd noticed. IMHO Palin's just messing up by trying to score points on some new hot-button issue, and it's just looking like another bridge to nowhere.
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> “Note that the same people that forecast that QE1 would be the end of the world, (Schiff, Denninger etc.) haven’t said much about how QE1 was reversed out with no hyperinflation, or anything close.”
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Obviously your wife does all the shopping...
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Note that the same people that forecast that QE1 would be the end of the world, (Schiff, Denninger etc.) haven’t said much about how QE1 was reversed out with no hyperinflation, or anything close.
Don't be too quick. It won't happen on a schedule. Assuming that nothing untoward *appears* to have happened is proof that it isn't going to happen is not wise.
The fact is, without printing hundreds of billions of dollars to "buy" US debt, the US government couldn't run its current operations. Because there simply aren't enough *real* lenders out there willing to lend the money.
If you drive your car without sufficient oil it will continue to run for a time. Thinking that, because the engine didn't seize up the first week, it can't / won't happen is denial.
The government's creation of "money" with no tangible goods and services to back that money is simply smoke and mirrors. Too big to fail is keeping us afloat right now. Not much of a life preserver, IMO.
Several years ago, tax cheat Timmy said that US debt was no problem because we have a magic device called a printing press. I'm certainly not going to bank our future on babbling from the (economic) village idiot.