THE "GOOD NEWS" IN THE "REAL ECONOMY" COULD DAMPEN HOPES FOR THE RATE CUTS...IN THE PAPER BASED FINANCIAL ECONOMY.
BUT THE SPECULATIVE SECTOR IN THE US IS SO DISEASED NOW AFTER YEARS OF HYPE AND ASSET BUBBLES...THAT THE FED WILL LIKELY CUT ANYWAY...
THE PROBLEM IS:
WILL THIS CONSTANT KOW-TOW TO THE SPECULATING CLASSES...DAMAGE THE DOLLAR ENOUGH TO EVENTUALLY WASH OVER INTO THE LACK LUSTER REAL ECONOMY...WHICH HAS BEEN TREADING WATER FOR YEARS THANKS TO HIGH LEVELS OF CREDIT CARD AND HOME EQUITY DEBT...
OF COURSE THE WHOLE MESS POINTS TOWARD A DEVALUED DOLLAR AND HIGHER INFLATION...
IF BERNANKE WON'T RAISE RATES...THE FOREIGN SUCKERS IN THE BOND MARKET SHOULD DO IT FOR HIM...!
