Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
Peloton 35% CRASH a Lesson of What Happens When One Over Pays for a Loss Making Growth Stock - 1st Dec 21
Stock Market Sentiment Speaks: I Fear For Retirees For The Next 20 Years - 1st Dec 21 t
Will the Anointed Finanical Experts Get It Wrong Again? - 1st Dec 21
Main Differences Between the UK and Canadian Gaming Markets - 1st Dec 21
Bitcoin Price TRIGGER for Accumulating Into Alt Coins for 2022 Price Explosion - 30th Nov 21
Omicron Covid Wave 4 Impact on Financial Markets - 30th Nov 21
Can You Hear It? That’s the Crowd Booing Gold’s Downturn - 30th Nov 21
Economic and Market Impacts of Omicron Strain Covid 4th Wave - 30th Nov 21
Stock Market Historical Trends Suggest A Strengthening Bullish Trend In December - 30th Nov 21
Crypto Market Analysis: What Trading Will Look Like in 2022 for Novice and Veteran Traders? - 30th Nov 21
Best Stocks for Investing to Profit form the Metaverse and Get Rich - 29th Nov 21
Should You Invest In Real Estate In 2021? - 29th Nov 21
Silver Long-term Trend Analysis - 28th Nov 21
Silver Mining Stocks Fundamentals - 28th Nov 21
Crude Oil Didn’t Like Thanksgiving Turkey This Year - 28th Nov 21
Sheffield First Snow Winter 2021 - Snowballs and Snowmen Fun - 28th Nov 21
Stock Market Investing LESSON - Buying Value - 27th Nov 21
Corsair MP600 NVME M.2 SSD 66% Performance Loss After 6 Months of Use - Benchmark Tests - 27th Nov 21
Stock Maket Trading Lesson - How to REALLY Trade Markets - 26th Nov 21
SILVER Price Trend Analysis - 26th Nov 21
Federal Reserve Asks Americans to Eat Soy “Meat” for Thanksgiving - 26th Nov 21
Is the S&P 500 Topping or Just Consolidating? - 26th Nov 21
Is a Bigger Drop in Gold Price Just Around the Corner? - 26th Nov 21
Financial Stocks ETF Sector XLF Pullback Sets Up A New $43.60 Upside Target - 26th Nov 21
A Couple of Things to Think About Before Buying Shares - 25th Nov 21
UK Best Fixed Rate Tariff Deal is to NOT FIX Gas and Electric Energy Tariffs During Winter 2021-22 - 25th Nov 21
Stock Market Begins it's Year End Seasonal Santa Rally - 24th Nov 21
How Silver Can Conquer $50+ in 2022 - 24th Nov 21
Stock Market Betting on Hawkish Fed - 24th Nov 21
Stock Market Elliott Wave Trend Forecast - 24th Nov 21
Your once-a-year All-Access Financial Markets Analysis Pass - 24th Nov 21
Did Zillow’s $300 million flop prove me wrong? - 24th Nov 21
Now Malaysian Drivers Renew Their Kurnia Car Insurance Online With Fincrew.my - 24th Nov 21
Gold / Silver Ratio - 23rd Nov 21
Stock Market Sentiment Speaks: Can We Get To 5500SPX In 2022? But 4440SPX Comes First - 23rd Nov 21
A Month-to-month breakdown of how Much Money Individuals are Spending on Stocks - 23rd Nov 21
S&P 500: Rallying Tech Stocks vs. Plummeting Oil Stocks - 23rd Nov 21
Like the Latest Bond Flick, the US Dollar Has No Time to Die - 23rd Nov 21
Why BITCOIN NEW ALL TIME HIGH Changes EVERYTHING! - 22nd Nov 21
Cannabis ETF MJ Basing & Volatility Patterns - 22nd Nov 21
The Most Important Lesson Learned from this COVID Pandemic - 22nd Nov 21
Dow Stock Market Trend Analysis - 22nd Nov 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Financial Markets Analysis - Fed Adopts Quantitative Inflation

Stock-Markets / Financial Markets 2009 Mar 21, 2009 - 04:04 PM GMT

By: Nadeem_Walayat

Stock-Markets Best Financial Markets Analysis ArticleThe big story of the week was the U.S. Fed's head long fling over the cliff into Quantitative Easing by printing more than $1 trillion (electronically) , this is on top of the $800 billion already printed on the sly as the Fed buys toxic junk such as the weeks announcement of buying $1.25 trillion of Fannie Mae and Freddie Mac mortgage backed securities, as well as other junk bonds, on top of $300 billion of US Government bonds to help finance the ever growing budget deficit. The implications of this extra supply of dollars is inflationary that devalues the value of all dollars. I have already warned indepth of the consequences of Quantitative Inflation so won't repeat it here.


Meanwhile the stealth bull markets spike higher left many analysts scrambling to cover their backs early week with analysis that typically suggested both that the Low 'could be in' and then again it 'could not be in'. Though the sell off late week again started to see a reversion towards the bearish mean.

Robert Pretcher made an in depth video and chart presentation freely available that illustrated his own views on the financial crisis and the prospects for the stocks and the housing markets in terms of a imminent bottom or not.

In the UK the mainstream press still continued to run with a ridiculous house price forecast for ANOTHER 55% drop on top of the 21% to date, my earlier analysis explained why this is extremely improbable. Though there was some further long-term bad news for the housing market as the FSA sought to regulate UK house prices.

Tomorrows analysis / newsletter will seek to update indepth either the trend for Gold or the US Dollar following the Feds decision to print (electronic) money that saw Gold and Commodities leap whilst the Dollar slumped which saw the hibernating dollar collapse proponents re-emerge in force to spell out the dollars imminent collapse, though the actual dollar trend so far is inline with my forecast / road map as of 20th Jan 2009 -

US Dollar Bull Market 2009 Update 4 - US Dollar to trade sideways with an upward bias for at least the first half of 2009, as the graph illustrates.

Gold Price Forecast 2009 - The picture being painted by the above analysis is that of gold strength going into March that looks set to see gold break above resistance of $936, to target $960, however this strength will soon evaporate with gold again targeting a decline back below the breakout point to trade back below $850 by mid 2009.

By Nadeem Walayat
http://www.marketoracle.co.uk

Copyright © 2005-09 Marketoracle.co.uk (Market Oracle Ltd). All rights reserved.

1. Stealth Bull Market Follows Stocks Bear Market Bottom at Dow 6,470

By: Nadeem_Walayat

As stated in last weekends analysis and newsletter , following the Dow's Friday close at 6626 that the Dow Jones Index had now fulfilled its bear market target of 6,600 as per the analysis of 20th Jan 2009 and illustrated by the chart below. The primary focus hence forth was to "position for a bullish spike higher" that would CONFIRM the bear market low, and negate the secondary far less probable overshoot target of 5,700 to 6000.

Read Article

2. Financial Crisis Worst is Yet to Come, Market Forecasts Into 2015

By: Lorimer_Wilson

Most investors don't take seriously warnings about the future of the economy and the financial marketplace, but those who did avoided the dreaded "Cs" of finance: the Credit Crisis and Crash of '08. What warnings are we talking about you might ask? Well, it was the headlines of several years ago screaming that a 'Category 6 Fiscal Storm'

Read Article

3. United States Economic Collapse Facing Its Weimar Moment

By: Robert Freeman

In early 1919, Germany put in place a new government to begin rebuilding the country after its crushing defeat in World War I. But the right-wing forces that had led the country into the War and lost the War conspired even before it was over to destroy the new government, the "Weimar Republic." They succeeded.

Read Article

INO TV - Watch From Your Computer for FREE

INO TV - Watch From Your Computer for FREE

Here are the newest authors: Jack Schwager, John Murphy, Jake Bernstein, and Ron Ianieri. All experts, all well recognized, and highly trafficked by our current members. http://tv.ino.com/

 

4. The Federal Reserve is Bankrupt

By: Matthias Chang

The Federal Reserve is bankrupt for all intents and purposes. The same goes for the Bank of England! This article will focus largely on the Fed, because the Fed is the "financial land-mine".

Read Article

5. Long-Term Economic Forecast: Slow Growth And Deflation

By: Gary Shilling

This week I am really delighted to be able to give you a condensed version of Gary Shilling's latest INSIGHT newsletter for your Outside the Box. Each month I really look forward to getting Gary's latest thoughts on the economy and investing.

Read Article

6. Gold Buying Opportunity Of A Lifetime

By: Darryl_R_Schoon

Opportunity and crisis are uneasy handmaidens in times of danger; and, while crises may increase, opportunities are always rare.

The world is in the grip of an unprecedented crisis. Unlimited credit has now turned into its deadly nemesis, unlimited defaulting debt; and whereas only some of us were its beneficiaries, all of us will be its victims—all of us, except the very few.

Read Article

7. California's Imploding Economy as Billions Disappear into the Budget Black hole

By: Mike_Shedlock

California is imploding faster than expected. Let's take a look starting with a flashback to something I wrote on February 16, 2009: California One Vote Shy On Budget Impasse . Here is the key snip.

Read Article

8. Trading the Stocks Bear Market Wave 4 Rally

By: Joseph_Russo

SCREW YOU MADOFF - Forget 12% a YEAR … How much is 30% per MONTH worth to you? - Casting aside 46% in open profits on our primary core positions with assurance contingency securing of a minimum 2009 return on the S&P 500 of 25%, what if we told you that on top of this, our Level-Three ancillary trading operations just booked another 30% return in the 9-February 13-March timeframe? Sounds too good to be true doesn't it.

Read Article

INO TV - Watch From Your Computer for FREE

INO TV - Watch From Your Computer for FREE

Here are the newest authors: Jack Schwager, John Murphy, Jake Bernstein, and Ron Ianieri. All experts, all well recognized, and highly trafficked by our current members. http://tv.ino.com/

 

9. Gold and U.S. Dollar Trends Set to Diverge

By: Merv_Burak

Both the US $ and the price of gold have been in a rally mode for the past few months. Both are now taking a rest. However, the big difference is that the momentum for gold is still quite positive while that for the US $ is most definitely weakening. Something's gotta give and my money is on the US $ continuing to slide from here and gold to turn around back to the up side.

Read Article

10. Japan's Economic Depression Deepens, Protectionism Could Trigger Global Depression

By: John_Mauldin

This week we look at the Land of the Rising Sun. Japan is going through major upheavals, and they will have consequences all over the world. And what are those wild and crazy Swiss central bankers up to? It's time for another round of competitive devaluation. And of course I have to look at the recent Barron's cover story, about how stocks are cheap. There's a lot to cover.

Read Article

By Nadeem Walayat
http://www.marketoracle.co.uk

Copyright © 2005-09 Marketoracle.co.uk (Market Oracle Ltd). All rights reserved.

Nadeem Walayat has over 20 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis specialises on the housing market and interest rates. Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication. We present in-depth analysis from over 250 experienced analysts on a range of views of the probable direction of the financial markets. Thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Nadeem Walayat Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in