Showing posts with label interest rates. Show all posts
Showing posts with label interest rates. Show all posts

The Parabolic Twitch: 1500, 74, and 47?

Things curving in a familiar, calculousy, sort of way.

Gold has passed 1500 and on a longish (5 years or so will do, but more does not hurt) time-line its gains are going parabolic in terms of USD.

The USD Index (DX) has taken a decided twitch downwards lately trying to cross 74, and actually doing so by 0.02 on Friday.

Silver is at 46.5, 47.5?  It is apparently debatable.  Sign of the times?  Following the shape of gold?  More like leading the way, at least intellectually.

Seems like about the right time for everything to accelerate in those directions.  Interest rate pandering is unlikely to influence nuanced reality as much as might be hoped by those responsible for it.  These are not the only places where this parabolic action is going on, from Dollarcollapse.com "Inflation Watch: They are Capitulating".

Link to Post: Deflation or Hyperinflation

FOFOA continues his debate/education of Rick from Rick's Picks question of "why not deflation?"  This is a large very comprehensive post.  You should try to read it all.  It is also a very good overview of the many forces at work under the surfaces of monetary opacity.  He comes to the same conclusion about our monetary system that I have: Hyperinflation.

LINK TO POST

Link to Post: Zero Hedge Guest Post: Bernanke's QE^X Box

There have been a lot of articles lately on how Bernanke will decide on the issue of extending QE.  Gordon T. Long, of Tipping Points, goes above and beyond in explaining that Bernanke is constrained from a variety of angles, forcing him down a middle path, though a middle path which still screws everyone except the very top of plutocratic high society.  Interest rates and the value of the dollar are at odds, to save one destroys the other and results in inflation or requires a near impossible monetary contraction.  Additionally, it also goes on to say that Bernanke will be as vague as possible at the end of month press release while attempting to head fake higher interest rates while planning more QE, which I agree will be his method.  The cake is already baked, everyone gets a bite.

LINK TO ARTICLE