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sailingaway
06-01-2013, 12:09 PM
Federal Reserve Advisory Committee Worries About Inflation, "Unsustainable Bubble" In Stocks And Bonds


Members of the Federal Reserve’s advisory council, which includes the Board of Governors, have expressed strong concerns over the Fed’s low-interest rate policies and its bond-purchase program, which they say could trigger unmanageable inflation and an "unsustainable bubble" in the stock and bond markets.

Minutes of the Federal Advisory Council meeting held on May 17 were published Friday on the Fed’s website and reveal concerns among its officials over the long-term ramifications of its quantitative easing policies.

“There is also concern about the possibility of a breakout of inflation, although current inflation risk is not considered unmanageable, and of an unsustainable bubble in equity and fixed-income markets given current prices,” according to the minutes of the council meeting.

http://www.ibtimes.com/federal-reserve-advisory-committee-worries-about-inflation-unsustainable-bubble-stocks-bonds-1287261

where have I heard that sort of thing before?

Carson
06-01-2013, 12:13 PM
I wonder if the global wide unrest tipped them off or have they even noticed yet?

What am I thinking. If they are worried about unsuitability it must has something to do with themselves and their ecconomy.

I'm going to force myself to go to the link, just out of curiosity.

Carson
06-01-2013, 12:17 PM
That didn't take long. I should have been able to figure it out from sailingaway's post.


Federal Reserve Advisory Committee Worries About Inflation, "Unsustainable Bubble" In Stocks And Bonds


Haa. Haa. That's their plunder!


I shouldn't laugh. I think we all know who they will take it out on.

Carson
06-01-2013, 12:33 PM
Check out the chart on this webpage if you get a chance.

http://www.barchart.com/chart.php?sym=%24DOWI&style=technical&template=&p=MO&d=X&sd=05%2F03%2F1970&ed=05%2F03%2F2013&size=L&log=0&t=CANDLE&v=0&g=1&evnt=1&late=1&o1=&o2=&o3=&sh=100&indicators=&addindicator=&submitted=1&fpage=&txtDate=#jump

It may be totally different than the way we see it now, but see the little dips. I'm thinking those are indications of the dollars regain value after paper assets had to be written off. The first big dip was the the Dot Com Bubble(2000?). The next the housing market(2008?) and then onto the crash in the job market(2011?). Each event had it's own destruction of assets.

If the bond bubble burst it will be a dip like no other.

LibertyEagle
06-01-2013, 12:53 PM
"unsustainable bubble"? Isn't that the very definition of a frickin' bubble; that it is UNSUSTAINABLE?

oyarde
06-01-2013, 01:37 PM
"unsustainable bubble"? Isn't that the very definition of a frickin' bubble; that it is UNSUSTAINABLE?

I reckon .Looks unsustainable to me .Yesterday , Cummins stock went up , market was down as a whole.Cummins first quarter sales were 38 % less than a yr ago .Does that sound like something that should be going over $100 and going up ?

Carson
06-01-2013, 01:48 PM
I reckon .Looks unsustainable to me .Yesterday , Cummins stock went up , market was down as a whole.Cummins first quarter sales were 38 % less than a yr ago .Does that sound like something that should be going over $100 and going up ?

That's the real deal isn't it? There is no reason for a stock in business being more valuable now in this business environment. I think the markets are being very kind. In fact to me the total explanation that explains the rise in prices seems to be an adjustment in price to account for inflation.

Check out the devaluation of the dollar chart. It has a baseline of about $5.00 and then shows an amount of around $130.00 having the same value.

http://photos.imageevent.com/stokeybob/followthemoney/RobertSahrcurrencyvalue.jpg

Now compare this one of the Dow Jones Industrial average going from about 500 to 13,000. Proportionally they are the same. If you can's see it knock off a couple of zero's.

http://photos.imageevent.com/stokeybob/followthemoney/30DJIA.jpg


It's not so much that you couldn't sustain it to much higher levels, in my estimation. For me the problem is they have devalued the working mans dollar to the point that there no longer is a point. Working that is. Look at the global picture.

It always happens to socialism. If everyone gets an equal share; Why work hard? Or at all for that matter.

Even though the socialism has been a back door stealth socialism the results are the same.


If everyone got a ten percent raise, we would ride the turnip truck another year, oblivious to our plight. Still reality would be coming full steam ahead like a runaway locomotive.

Anti Federalist
06-01-2013, 01:55 PM
http://i.imgur.com/gibkw.gif