Yeh, that post of my was before the emergency rate cut. Still the fiscal stimulus package going to be released by Bush.
However, if you are talking long-term fundamentals, the US is FUKCED!
Stagflation anyone? IRs are used to directly target inflation, which is growing, namely because of higher energy prices, now add to that a decreased cash rate in a time of slowdown and possibly recession. And you have a BIG BIG problem!
I hope to god there is a short rally so I can cut some losses and get some more cash out!
However, I beleive this is a short term fix and the slide will continue!
However, if you are talking long-term fundamentals, the US is FUKCED!
Stagflation anyone? IRs are used to directly target inflation, which is growing, namely because of higher energy prices, now add to that a decreased cash rate in a time of slowdown and possibly recession. And you have a BIG BIG problem!
I hope to god there is a short rally so I can cut some losses and get some more cash out!
However, I beleive this is a short term fix and the slide will continue!
