Tuesday, August 31, 2010

An interesting prediction:

Nadeem Walayat:

"The Bank of England WILL RAISE INTEREST RATES AND PRINT MONEY - This is contrary to anything you will hear anywhere else as the consensus view is that QE and Zero interest rates are complimentary, they will NOT be as we move forward! Because the Bank of England Will have no choice but to attempt to DEFLATE PRICES whilst INFLATING the Economy to achieve this it MUST RAISE Short-term Interest rates WHILST KEEPING LONG-TERM interest rates low. To achieve this the Bank of England needs to BUY Bonds and Stocks whilst forcing demand for consumption and wage increases lower."

http://www.marketoracle.co.uk/Article22199.html

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