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By Richard Fernandez

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The Big Time

March 18, 2009 - 1:14 pm - by Richard Fernandez
buddy larsen
2009-03-18 22:58:20

Elby, tim, others, take comfort in a few things, the financials seem to’ve bottomed –indeed are up by half in a week –and Fed has done this before, from time to time, when the need was perceived –it is said, through a quiet deal with Goldman Sachs. Lastly, re the feared hyperinflation, gold (though it swung from the high 800s to the mid-900s in a fantastical range today) ought to be twice as high as it is. There’s alot of slack in global capacity, a condition difficult for monetary inflation to overcome. Plus, Bernanke has a shredder right next to his printing press –Fed can and plans to sop up excess liquidity first sign of it. Ad who knows, DC may realize what the hell is wrong with the third rock from the sun –it’s “DC”! A litle fiscal sobriety will go a long ways in the expectations game –a large part of all this as you know.