AI
Wednesday, December 11, 2002 2:53:13 PM
It`s the first time I`m posting here. I`m wondering what you think about this.
The fate of the economy (and the stock markets) seems to depend on money creation. While M3 and non-M2-M3 sprint higher, the institutional money market burst seems to have followed the rally this time rather than leading it. Thus, it is hard to know whether this should be viewed as a contrary sentiment indicator (that will reverse) or the building of speculative muscle underneath a rally temporarily resting.
Behold the upward spike in M3 and the crossover of the 13 week rate of growth above the year over year rate. A deflationary debt implosion ain't gonna happen until the 13 week reverses down.
The fate of the economy (and the stock markets) seems to depend on money creation. While M3 and non-M2-M3 sprint higher, the institutional money market burst seems to have followed the rally this time rather than leading it. Thus, it is hard to know whether this should be viewed as a contrary sentiment indicator (that will reverse) or the building of speculative muscle underneath a rally temporarily resting.
Behold the upward spike in M3 and the crossover of the 13 week rate of growth above the year over year rate. A deflationary debt implosion ain't gonna happen until the 13 week reverses down.
Trade what you see, not what you expect.
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