Interest Rates

[cottonpicken]

Are not going up,YAYAYAYAYAY!

[Wheatking]

Good news for commodities and the coming inflation.

[boarderbloke]

can anyone say hyperinflation!

this from a Barron's article,

"If hyperinflation takes hold, expect gold to run quickly higher, Sperandeo writes. In hyperinflation, the metal can gain between 2,000 percent and 50,000 percent in value against a hyperinflated, collapsing currency."

the whole article here,

http://www.moneynews.com/StreetTalk/US-Run-Treasurys-Hyperinflation/2011/01/05/id/381925

[fjlip]

They have a shit load at stake. Might start the herd stampeding away from USD.

"He believes that continued U.S. fiscal measures to stave off recession will ultimately weaken the dollar, causing China's estimated $2.65 trillion in dollar holdings to quickly lose value."

[boarderbloke]

fjlip, I think that's why China's buying hard assets anywhere in the world, where gov'ts will let them.

[cottonpicken]

I just read(sorry no link)that china's treasury
holdings were "revised" upward by 30 fkin percent
on monday!

The official story,up till now was that they had
stopped purchasing.

Good grief-everything you hear from "officials" is a
complete joke.

There is no inflation-Ah earth to carney the clown
open your frickin eyes!

[Hopperbin]

Great to pay down more principal. Makes you wonder why some farmers prefer to rent at the high rates of rent. Cotton everywhere one sees people making asses of themselves down playing China. They are much more further ahead of us than we realize.
The Chinese are experts at making everyone else think they are poor and need help, they are actually making a killing at it. How much Gold is China buying up, I know the talk on the street in China is to buy pure gold, they are not much into jewelery. I don't really like to go there, they don't shut down there, business is 24 hours per day.

[fjlip]

Don't like the price issue a press release and soon they buy cheaper...

"China also announced yesterday that they do not plan to import large volumes of
U.S. corn due to unprofitable import prices which could limit upside."

[boarderbloke]

Today's update at Market Watch / Metals page.

http://www.marketwatch.com/story/gold-extends-gains-on-geopolitical-fears-2011-02-28

[jensend]

of course if you see higher oil prices causing inflation you might expect higher interest rates. supply caused price increases in oil are deflationary. even jeff rubin in the g&m says a quick oil price increase will collapse the economy and oil prices. high prices cure high prices. i saw one theory that increase in american utilization is plants anticipating inflation but demand increases aren't actually there. any burst of inflation will be shortlived because the economy is not expanding and cannot absorb increased costs. it will be just like increasing taxes.

[Hopperbin]

Flatter uptrend should be better in my eyes. Silver copper are looking too steep. When its our Canadian USA gov't themselves that cannot handle the interest rate hike somehow that is our friend.