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macker · 06-22-2009, 05:06 PM

[quote=Slava;1890349]Just relax. Inflation is not a big deal at all at this point in time. Mark Carney from the Bank of Canada says that the short-term rates will not rise until this time next year. The move in the bond market looks a bit premature.

It's difficult to estimate the magnitude of the inflationary and interest-rate consequences of the Fed's actions because, frankly, we haven't ever seen anything like this in the U.S./Canada. To date what's happened is potentially far more inflationary than were the monetary policies of the 1970s, when the prime interest rate peaked at 21.5% and inflation peaked in the low double digits. People need to realize that someone is going to have to pay for this mess. Just look around you....things aren't getting cheaper no matter what it is....gas, food, etc. etc. and I don't even want to get into how the inflation rates are determined as that is even more OT....Jim Rogers knows where things are going......http://financeprofessorblog.blogspot...-seems-to.html

06-22-2009, 05:06 PM	#71
macker First Line Centre Join Date: Apr 2007 Exp:	[quote=Slava;1890349]Just relax. Inflation is not a big deal at all at this point in time. Mark Carney from the Bank of Canada says that the short-term rates will not rise until this time next year. The move in the bond market looks a bit premature. It's difficult to estimate the magnitude of the inflationary and interest-rate consequences of the Fed's actions because, frankly, we haven't ever seen anything like this in the U.S./Canada. To date what's happened is potentially far more inflationary than were the monetary policies of the 1970s, when the prime interest rate peaked at 21.5% and inflation peaked in the low double digits. People need to realize that someone is going to have to pay for this mess. Just look around you....things aren't getting cheaper no matter what it is....gas, food, etc. etc. and I don't even want to get into how the inflation rates are determined as that is even more OT....Jim Rogers knows where things are going......http://financeprofessorblog.blogspot...-seems-to.html Last edited by macker; 06-22-2009 at 05:09 PM.