Sunday, November 7, 2010

German finance minster says what investors/traders/and human beings are feeling.

Ben Bernanke has made a grievous error with more US Dollar money printing (QE2). This global backlash against the Fed ala Fed Chief Ben Bernanke will turn into a full blown Chorus of Disapproval.

So our beloved 2009 liquidity rallies (stocks) may not take off in earnest this time in 2010, rather nice doses of volatility.

German finance minister lays it on the line from Spiegal Online 11/05/2010:

"I don't think they are going to solve their problems that way," Schäuble told German public broadcaster ZDF in a Thursday evening interview. "They have already pumped an endless amount of money into the economy via taking on extremely high public debt and through a Fed policy that has already pumped a lot of money into the economy. The results are horrendous."

Mustn't forget that the German's have a history with inflation/hyperinflation
:
"A medal commemorating Germany's 1923 hyperinflation. The engraving reads: "On 1st November 1923 1 pound of bread cost 3 billion, 1 pound of meat: 36 billion, 1 glass of beer: 4 billion."


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