patrick.net

freak80 says

A loaf of bread is still about $2.50. A gallon of milk is still about $3. Nationally, house prices have returned to long-term historic averages.

The big run-up in oil prices happened long before QE. A few million new drivers in China combined with depleting conventional oil reserves will do that.

The health care and college rackets are killing us, but that's not the fault of the fed. College is the new high school, since anyone can get a college degree nowadays.

That's not true. We have been living on cheap money (for loan) for decades. The QE is just the same policy on steroid.

And when you throw cheap money around, you don't know where they will go. The money will go somewhere, possibly not where you like. The college racket also has a large appetite for cheap money, who does not?

In short, anything that can be obtained with a loan has been getting expensive due to high bidding. This includes loans to regular consumers as well as wall streets.

Schiff has taken to promoting silver

Did he cause a Schiff surge in September?
/?p=1230059

freak80 says

Remember, a price increase could from the fundamentals.

Over the last 15 years, we decided to let the third world compete for the same limited planetary resources. Thank you, globalization. When you've got millions of new people entering the middle class worldwide, that puts severe strain on resources like oil and metals.

In a global economy, everybody makes Bangladesh wages. But that's the fault of globalization, not the fed.

This is such a baloney. You really don't understand the connection between producer and consumer. You need both. In order for you to consume, someone has to produce at the price that you can consume.
And how do you consume when you don't have enough earning? You have cheap credit. Just put on a few 10000 dollars on your credit card and things will be all right. You just need to keep calling your credit card company to raise your credit ceiling.

If you think globalization is the source of the problem, why don't you go live in an island alone with no connection with anyone else, and see how you can live a lifestyle without anyone else around? That should be a cure for your problem.

You just print money on your own printing press, and use it buy stuff, where there is no other consumer except yourself?
Wait, someone has to make the stuff for you that you can buy. But no one will be there. So you can make your own stuff, give yourself a nice million dollar salary with your own money.

egads101 says

StillLooking says

Organic milk is $6 a gallon. Industrial food that kills is much cheaper than good healthy wholesome food.

Milk is one item where organic is well worth it.

there is no reason whatsoever for an adult to drink milk, of ANY form.

There is no reason for you to post. Heck, I have no reason to drink scotch, of ANY form, but I still do because I like doing so. F U if you don't like it.

Here's an index of major commodities from www.indexmundi.com

freak80 says

Here's an index of major commodities from www.indexmundi.com

Notice the spikes, where cheap money jacked up the prices of commodities, and then fell apart due to lack of organic demand. The same thing happens for all other asset classes as well. That includes your real estate.

In that one respect, I agree that real inflation won't happen until the money really trickles down to the poor. There will be speculative bubbles followed by crashes. That's why pumping money through QE or other means do nothing more than creating these bubbles and crashes, as it mostly stays at the top. It also creates the slow inflationary effect that mostly hurts the poor.

egads101 says

StillLooking says

Organic milk is $6 a gallon. Industrial food that kills is much cheaper than good healthy wholesome food.

Milk is one item where organic is well worth it.

there is no reason whatsoever for an adult to drink milk, of ANY form.

The Amazing Health Benefits of Raw Milk

http://www.naturalnews.com/023083_milk_raw_benefits.html

...the Bewildered Bubbabear has spoken !

egads101 says

Ridiculous. Scotch is very important for health... Milk is terrible for you, and doesn't even mix with scotch!

That is the first time you have said something that makes sense.

gsr says

Notice the spikes, where cheap money jacked up the prices of commodities, and then fell apart due to lack of organic demand. The same thing happens for all other asset classes as well. That includes your real estate.

Here's the 10-year treasury rate from www.multpl.com

Your cheap money thesis appears correct.

Are people "yield chasing" by speculating since interest rates are so low? And is that speculation causing a "serial-bubble" economy? I've heard that theory before, and it does seem convincing...to me at least.