[Bob]

[quote=patientrenter]Bob and Arraya,

I am still puzzled why you think inflation cannot be achieved.[/quote]

You must have me confused with someone else because I’ve been predicting all along that the Fed and Obama have created future inflation throughout the economy. In fact, we are already seeing the early signs of inflation. Bernanke is doing everything he can to stop the deflationary cycle with his “quantitative easing” policy, as has the federal government. Record low interest rates, combined with FHA loans, loan modifications, etc,,,have created a mini flurry of activity which has inflated the price of housing in many of the bubble states. Oil prices are trending upward, as is the price of food.

The key is interest rates…if rates continue to spike it will put the brakes on the Fed’s hopes of ending the foreclosure crisis. At this point Bernanke can continue purchasing securities, but each time he does so, it creates even more potential for hyper inflation down the road. And as we now can see, Wall St. is getting extremely concerned about future inflation because they know that inflation will result in higher mortgage rates, which will then put a severe damper on the housing recovery at a time when unemployment continues to go higher. Basically, the Federal Reserve is in a catch 22 situation.

[Bob]

[quote=patientrenter]Bob and Arraya,

I am still puzzled why you think inflation cannot be achieved.[/quote]

You must have me confused with someone else because I’ve been predicting all along that the Fed and Obama have created future inflation throughout the economy. In fact, we are already seeing the early signs of inflation. Bernanke is doing everything he can to stop the deflationary cycle with his “quantitative easing” policy, as has the federal government. Record low interest rates, combined with FHA loans, loan modifications, etc,,,have created a mini flurry of activity which has inflated the price of housing in many of the bubble states. Oil prices are trending upward, as is the price of food.

The key is interest rates…if rates continue to spike it will put the brakes on the Fed’s hopes of ending the foreclosure crisis. At this point Bernanke can continue purchasing securities, but each time he does so, it creates even more potential for hyper inflation down the road. And as we now can see, Wall St. is getting extremely concerned about future inflation because they know that inflation will result in higher mortgage rates, which will then put a severe damper on the housing recovery at a time when unemployment continues to go higher. Basically, the Federal Reserve is in a catch 22 situation.

[Bob]

[quote=patientrenter]Bob and Arraya,

I am still puzzled why you think inflation cannot be achieved.[/quote]

You must have me confused with someone else because I’ve been predicting all along that the Fed and Obama have created future inflation throughout the economy. In fact, we are already seeing the early signs of inflation. Bernanke is doing everything he can to stop the deflationary cycle with his “quantitative easing” policy, as has the federal government. Record low interest rates, combined with FHA loans, loan modifications, etc,,,have created a mini flurry of activity which has inflated the price of housing in many of the bubble states. Oil prices are trending upward, as is the price of food.

The key is interest rates…if rates continue to spike it will put the brakes on the Fed’s hopes of ending the foreclosure crisis. At this point Bernanke can continue purchasing securities, but each time he does so, it creates even more potential for hyper inflation down the road. And as we now can see, Wall St. is getting extremely concerned about future inflation because they know that inflation will result in higher mortgage rates, which will then put a severe damper on the housing recovery at a time when unemployment continues to go higher. Basically, the Federal Reserve is in a catch 22 situation.

[Bob]

[quote=patientrenter]Bob and Arraya,

I am still puzzled why you think inflation cannot be achieved.[/quote]

You must have me confused with someone else because I’ve been predicting all along that the Fed and Obama have created future inflation throughout the economy. In fact, we are already seeing the early signs of inflation. Bernanke is doing everything he can to stop the deflationary cycle with his “quantitative easing” policy, as has the federal government. Record low interest rates, combined with FHA loans, loan modifications, etc,,,have created a mini flurry of activity which has inflated the price of housing in many of the bubble states. Oil prices are trending upward, as is the price of food.

The key is interest rates…if rates continue to spike it will put the brakes on the Fed’s hopes of ending the foreclosure crisis. At this point Bernanke can continue purchasing securities, but each time he does so, it creates even more potential for hyper inflation down the road. And as we now can see, Wall St. is getting extremely concerned about future inflation because they know that inflation will result in higher mortgage rates, which will then put a severe damper on the housing recovery at a time when unemployment continues to go higher. Basically, the Federal Reserve is in a catch 22 situation.

[Bob]

[quote=patientrenter]Bob and Arraya,

I am still puzzled why you think inflation cannot be achieved.[/quote]

You must have me confused with someone else because I’ve been predicting all along that the Fed and Obama have created future inflation throughout the economy. In fact, we are already seeing the early signs of inflation. Bernanke is doing everything he can to stop the deflationary cycle with his “quantitative easing” policy, as has the federal government. Record low interest rates, combined with FHA loans, loan modifications, etc,,,have created a mini flurry of activity which has inflated the price of housing in many of the bubble states. Oil prices are trending upward, as is the price of food.

The key is interest rates…if rates continue to spike it will put the brakes on the Fed’s hopes of ending the foreclosure crisis. At this point Bernanke can continue purchasing securities, but each time he does so, it creates even more potential for hyper inflation down the road. And as we now can see, Wall St. is getting extremely concerned about future inflation because they know that inflation will result in higher mortgage rates, which will then put a severe damper on the housing recovery at a time when unemployment continues to go higher. Basically, the Federal Reserve is in a catch 22 situation.

[Bob]

As I’ve stated over and over, upward pressure on interest rates will increase during 2009, and by 2010 we could be looking at significantly higher rates. Bernanke can only do so much with his “quantitative easing” policy because investors and the market ultimately will direct which way rates go.

[Bob]

As I’ve stated over and over, upward pressure on interest rates will increase during 2009, and by 2010 we could be looking at significantly higher rates. Bernanke can only do so much with his “quantitative easing” policy because investors and the market ultimately will direct which way rates go.

[Bob]

As I’ve stated over and over, upward pressure on interest rates will increase during 2009, and by 2010 we could be looking at significantly higher rates. Bernanke can only do so much with his “quantitative easing” policy because investors and the market ultimately will direct which way rates go.

[Bob]

As I’ve stated over and over, upward pressure on interest rates will increase during 2009, and by 2010 we could be looking at significantly higher rates. Bernanke can only do so much with his “quantitative easing” policy because investors and the market ultimately will direct which way rates go.

[Bob]

As I’ve stated over and over, upward pressure on interest rates will increase during 2009, and by 2010 we could be looking at significantly higher rates. Bernanke can only do so much with his “quantitative easing” policy because investors and the market ultimately will direct which way rates go.

[Bob]

[quote=5yearwaiter] There could be sure some housing prices chances to go down – however … with the devaulation again no value to the money situation would keep housing rates at the same level or not much lower…… [/quote]

Excellent point, and that could be the plan of last resort by the Feds. Using inflationary forces to prop up prices with the “appearance” of price stability in the housing sector.

[Bob]

[quote=5yearwaiter] There could be sure some housing prices chances to go down – however … with the devaulation again no value to the money situation would keep housing rates at the same level or not much lower…… [/quote]

Excellent point, and that could be the plan of last resort by the Feds. Using inflationary forces to prop up prices with the “appearance” of price stability in the housing sector.

[Bob]

[quote=5yearwaiter] There could be sure some housing prices chances to go down – however … with the devaulation again no value to the money situation would keep housing rates at the same level or not much lower…… [/quote]

Excellent point, and that could be the plan of last resort by the Feds. Using inflationary forces to prop up prices with the “appearance” of price stability in the housing sector.

[Bob]

[quote=5yearwaiter] There could be sure some housing prices chances to go down – however … with the devaulation again no value to the money situation would keep housing rates at the same level or not much lower…… [/quote]

Excellent point, and that could be the plan of last resort by the Feds. Using inflationary forces to prop up prices with the “appearance” of price stability in the housing sector.

[Bob]

[quote=5yearwaiter] There could be sure some housing prices chances to go down – however … with the devaulation again no value to the money situation would keep housing rates at the same level or not much lower…… [/quote]

Excellent point, and that could be the plan of last resort by the Feds. Using inflationary forces to prop up prices with the “appearance” of price stability in the housing sector.

[Author]

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