Wednesday, October 20, 2010

The Delusional Election

"If you think all the game-changing decisions to be made on November 2 will be by voters at the ballot boxes, think again! In his latest online presentation, Monty Agarwal reminds us that, on that very same Tuesday, Fed Chairman Ben Bernanke will ... corral together the other voting members of the Federal Open Market Committee ...send any dissenters off to the shearing shed, and ...before the following day, close the deal on QE2 — the next major round of mass money printing.  How ironic the twists and turns of history can be!  while millions of voters will likely vote to transform Capitol Hill into a new stable of fiscal conservatives ...Just 12 men — meeting two and a half miles away — will be voting to transform America into a field of money trees.  Strangely ...The vote at the polls will put the padlock on America's fiscal stimulus. But ...The vote at the Fed will unleash a whole new round of monetary stimulus, potentially driving more liquidity into gold, commodities, foreign currencies, and emerging markets.  End result: One of the greatest disconnects of all time between ...A sinking economy on the one side, and ...The real possibility of roaring bull markets in certain asset classes on the other side."
Martin Weiss, Weiss Research

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