Will everyone be disappointed with just 25bp cut?

[canuckrookie]

Quote from stock_trad3r:

The falling dollar also isnt inflationary.

Please go study economics 101 because a devaluing currency is exactly that. Quant theory tells us that an increase of money supply decreases the value of money while increasing the price level. Oil is at new highs for a reason you know.
A falling dollar can be considered an inflation tax.

 

[YMsystemtrader]

Quote from stock_trad3r:

The falling dollar also isnt inflationary.

this has got to be the most idiotic post of all time!!!!!!!!


oil 92
soybeans 1038
gold 789

we cant give the rest of the world a huge price break, so we have to charge an insane amount in US $ terms for the commodities.

we will crash within the next 30 days imo

 

[detective]

The thing is, inflation is actually good for the stock market, because inflation also leads to inflated earnings and inflated dividends, of course, all in nominal terms, in real terms, it means nothing.

We may have a rising stock market but the actual real value could fall with high inflation.

 

[hsmc1970]

Quote from stock_trad3r:

The falling dollar also isnt inflationary.

Please explain why it is not inflationary?

I happen to disagree strongly but lets hear your point.

 

[pumpanddumper]

Quote from YMsystemtrader:

this has got to be the most idiotic post of all time!!!!!!!!


oil 92
soybeans 1038
gold 789

we cant give the rest of the world a huge price break, so we have to charge an insane amount in US $ terms for the commodities.

we will crash within the next 30 days imo

Would make sense to crash and be logical but when have the markets been logical. When there isn't as much betting against a crash, it will come. Wouldn't a crash be too easy to predict?

 

[hsmc1970]

Quote from detective:

The thing is, inflation is actually good for the stock market, because inflation also leads to inflated earnings and inflated dividends, of course, all in nominal terms, in real terms, it means nothing.

We may have a rising stock market but the actual real value could fall with high inflation.

Classic example of that in action Zimbabwes stock market

 

[S2007S]

Quote from YMsystemtrader:

this has got to be the most idiotic post of all time!!!!!!!!


oil 92
soybeans 1038
gold 789

we cant give the rest of the world a huge price break, so we have to charge an insane amount in US $ terms for the commodities.

we will crash within the next 30 days imo

dont forget milk has gone up 25% at local supermarkets....................

 

[DHOHHI]

Quote from stock_trad3r:

The falling dollar also isnt inflationary.

You haven't a clue ...

The falling dollar is bad because US consumers then pay more for foreign imports. This makes a falling dollar inflationary.

 

[AAAintheBeltway]

Quote from hsmc1970:

Please explain why it is not inflationary?

I happen to disagree strongly but lets hear your point.

Can you prove it statistically?

The main inflation in the US is in food, materials, energy, health care and education. I don't really see how rate or dollar policy impacts any of them very much. Food is largely political interference in the form of ethanol subsidies, energy is part politicla and part hedge fund speculation, materials are a china not Fed story and health care and education are both market failures. Do you really think college costs would go down with a stronger dollar?

 

[YMsystemtrader]

Quote from AAAintheBeltway:

Can you prove it statistically?

The main inflation in the US is in food, materials, energy, health care and education. I don't really see how rate or dollar policy impacts any of them very much. Food is largely political interference in the form of ethanol subsidies, energy is part politicla and part hedge fund speculation, materials are a china not Fed story and health care and education are both market failures. Do you really think college costs would go down with a stronger dollar?

Food is largely political interference in the form of ethanol subsidies

ga??? why cant people connect more than one dot?


you wouldnt have ethanol subsidies if oil was $30---->
you then wouldnt have 1038 beans because corn wouldnt be taking away acres--->
you then wouldnt have a 25% rise in milk because the farmers wouldnt have to charge more for feed fertilizer ..etc


---->you wouldnt have huge hedge fund speculation if easy inflated dollars were taken away

----> you cant have a worldwide boom and exclude the ONE country with 0 % interest rates in japan which in turn is fueling every asset in the world with free money to borrow

wtf people, this ALWAYS ends in a bad way ALWAYS.