Tuesday, January 6, 2009

And no more pushing forward is available...

ok... today is one of these days that i woke up with a slight pain in my back since my nearly 2 years old daugther want to sleep with daddy...

anyways, this is one of these days that i woke up with some willing to post some bullshit around this website.

So... we all know based on last events in the markets and all the news that some people don't wanna know because their 401k is fucked up or they simply invested in Madoff "hedge funds"..


we have reach a point where pushing forward the problem is not an option...and let me tell you why...



If you see this graph above, the blue line is trending down... and at the end there is an abrupt change... witch is normal because...let's face it, the behavior of this line is something we don't really give a rat ass...

But; according to the Fed, the M1 money multiplier is at 0.954 (see this)... yes if you see the graph the line end under the little number 1 in the left.. witch makes this a big deal.

The USA central bank (aka the fed) has lost control over the speed of the effect that every dollar they print and inject in the system has on the economy...

and yet they keep printing dollars out of thin air as a strategy of injecting dynamism to the economy

I wonder how much time will take for the US dollar to collapse... and the consequences of such a thing...


1 comment:

  1. Well, everybody get ready, the shit will hit the fan before June.

    ReplyDelete