Friday, April 8, 2011
Possible wild cards.
1. The FED. One spokesman at the FED was hinting that the FED may finish QEII before it bought all the Treasuries it intended to buy. This would be anti-inflationary if true, but it would also act to dampen the economy. The statement could be just a bash to try to reduce precious metals and keep bond yields from rising. 2. The serious wild card. The Dems have been angling for a government shutdown. The final excuse was that Republicans demanded a withholding of federal funds from Planned Parenthood and its abortion mills. But, this "shut down" is not what you think. The shut down effects those agencies that cause maximum inconvenience to the public. The worst is the stopping of pay to the military. Is the Obama regime trying to provoke a revolt by the military? That would be a huge wild card with unpredictable results. The composition of the military is tilted more toward blacks and Hispanics.
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