WHAT IF A CENTRAL BANK THREW AN INFLATION ...AND NO ONE CAME...
WHAT WOULD YOU HAVE....? PERHAPS TODAYS AMERICAN ECONOMY....
ALL THE MONEY IS TRAPPED IN THE BANKS AND CAN'T GET OUT IN THE REAL ECONOMY...BECAUSE AMERICANS HAVE NO JOBS AND THEIR HOUSE IS UNDERWATER...AND THE BUBBLES ARE GONE....
LATELY THE BIG MONEY HAS BEEN INVESTING IN COMMODITIES AS A HEDGE ON INFLATION FROM THE FED...
BUT NOW THERE SEEMS TO BE A FEELING THAT THE INFLATION CAN'T HAPPEN...AND THAT ALL THE MONEY IS SITTING IN THE BANKS...AND PERHAPS HAS BEEN BLEEDING INTO COMMODITIES....TOTALLY WITHOUT UNDERLYING DEMAND FOR THOSE COMMODITIES...
YES THE CHINA STORY HAS BEEN INVOKED...BUT MANY ARE NOT BELIEVING IT NOW...
THE EURO COLLAPSE IS ONLY CONFUSING THE SITUATION MORE...AS THE DOLLAR RISES...DESPITE THE FEDS ATTEMPTS TO WEAKEN IT...