Fed funds are raising at alarm rate which will lead us to massive or hyper inflation once economy gets to normal with supply demand chain going on. Its pause for moment right now as every body is trying to sell at current markets or when market rallies.
I see inflationary in these in coming years:
1.Commodities.
2.Metas.
3. Utilities.
4. Govt taxes (though Obama govt doesn't raise taxes for income over 250k we have to pay inflationary taxes from our pocket which will pinch us during this deflationary period with decreasing incomes).
Are we looking fed interest rate to 0% any time in US history ? hope we might get a chance to witness that too along with the Great Depression.
Great Depression 2.0
Ladies and Gentlemen:
This is your Captain Ben Bernanke (Alice Helicopter Ben) speaking along with my co-pilot Hank Paulson. Welcome aboard to bailout-out national flight, flight number 1929, non-stop service from recession ville to Depression ville. After reaching a cruising altitude of 5.25 %, we’ll steadily drop down to 1.0 % and hold it there for a long time before we hit ground zero or crash land at Depression ville.
For your safety, please bundle-up Treasury Bills and stay in dollar.Federal law also prohibits any speculating in commodities or tampering with the metals(gold silver etc) during this entire flight as we might use our $700 TARP to take action. Our in-flight entertainment will feature two films, “Age of Turbulence,” starring Greenspan as Hero, and “Death of Dollar,” starting Bush and his fellow Congressmen.
In any unlikely event we loose cabin pressure, there will be a ten dollar surcharge to use the Oxygen mask. After reaching the cruising altitude, we will be serving you complimentary beverages and chips as a part of our stimulus package. If there is anything we can do to reduce your inflationary pain, please do not hesitate to contact one of our flight attendants to receive a low CPI dose.
Thank you for choosing govt aided intervene flight for your final destination, sit back and relax, And we will let you know if there will be any turbulence in markets or crash landing, hope everybody rest in peace with your 401k's, stocks, bonds, assets.... blah blah.
Over and out.
