Showing posts with label stagflation. Show all posts
Showing posts with label stagflation. Show all posts

Monday, March 23, 2009

Start of the devaluation of the dollar

The Fed will buy up $300 billion worth of treasury debts plus $750 billion of mortgage-backed securities.

With the news, gold again rose to $950 level because of the massive injection of cash into the markets? What will happen to the dollar?

If the economy does not recover, we will have the double edged sword of stagflation - economic stagnation and price inflation. Looking seriously into gold now is probably a good idea...

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