Quote from BlueStreek:
the comps for earning`s growth alone next year are going to kill companies with a slowing growth picture---the fed really screwed up (g-span) there is way too much cheap money floating around, and they should have tightened to prevent this fact, but the housing/manufacturing sectors are in trouble, so they just remained nuetral; as inflation has remained outside their comfort range, even with a slowing economy, the dollar is losing value, foreigners are raising rates, and equities are heavily inflated right now.
The nasdaq went from a 16 month low in july to a multiyear high in december=total bs liquidity run rally that only increases the chances of a recession when equities crash back to reality--already--india`s exchange has been crashing---one by one--we will have these asset bubble classes being burst.
The sooner the fed starts raising rates to cut some of this liquidity out of the financial markets the better--the current state is highly inflationary---remember all those rate increases were suppossed to kick in and cut inflation--so they went on hold---hasn`t happened--inflation still a problem.
so, they can`t raise rates because the economy is in trouble, but they can`t cut rates b/c of inflation.
Meantime, the dollar gets killed in the process by foreigners/traders which is not good for the overall economic stability of any nation despite the spin: as your currency is worth less around the world for trading for goods and services which leads to even more inflation.
