The Coming Doom
Somewhere in a lonely hotel room there's a guy startin' to realize that eternal fate has turned its back on him... it's two a.m.
Interestingly enough... despite Herr Greenspan's talk of inflation... we see that in last few weeks the Fed has once again been pumping out money like the black dog of deflation is growling at the door.
They boosted M-3 another 19.1 billion this past week (a 10.36% annualized rate of growth). For the past two weeks, they have increased M-3 a whopping $73.2 billion (that's a 19.97 percent annualized growth rate). Over the past six weeks, M-3 is up $105.2 billion (a 9.59% rate of growth). Oh yeah... they are clearly pissing themselves with fear over this inflation deal. Be sure and check that link Jamie. The charts will give you wood.
Remeber... The Fed is the organization that claims that the Great Depression (tm) was caused by a failure to print enough money. I mean... they write that in their manual. That's like reading the substitution property of mathmatics can be applied to sports in a bookie's guide.
And just in case we have any Dave Ramsey fans left... here you will find an excellent little editorial on just exactly why real estate is not where you want to be. Things are about to Pop folks, and it ain't gonna be pretty. More charts there to Jamie.
Please remember that what some of us fear is far worse than what happened in the 30's. An overnight crash is violent.. but it's like tearing off a bandaid. It hurts, but it's short and over with. I've a feeling we're in for a long slow decline over the course of a decade or more. There could well be a few catastophic collapses in various markets like Real Estate and Banking... but other than that I don't expect massive sudden blood-letting.
But hey... no one has a crystal ball. No one knows exactly what is going to happen. All we know is the basic framework of rules. What goes up, must come down.
Read your Bible, and use it as a guide for your financial life. Save and Give. Save and Give.