The end of this thing is going to be nasty. The bust of the current Fed induced delusion will likely be more impactful for many people alive today than the 2008 Crash or the September 11th 2001 attacks. Bill Gross, probably the biggest bond trader in the world sees storm clouds. Gross says that it may not be as bad as 2008, but I’ll bet that in his heart of heart he thinks things will be worse.
Over the last 25 years we’ve gone from one Fed created bubble to the next. Now the central banks of the world are pushing into new frontiers of money printing and they are likely creating a bubble which will result in an unprecedented bust.
This is a great example of why the government should never manage the economy. The more government manages, the more it will mess things up. Over time this is nearly always true. It is absolutely true in China.
Did I say wind down? No I meant expand! —The President comes up with a new scheme for bailing out underwater real estate investors and Wall Street firms stuck with “toxic assets.”
