Big Ben Discusses Another Round of Quantitative Easing
Good day… And a Tub Thumpin’ Thursday to you! I wonder what I’ll talk about today…. Hmmmm… Could it be…. The Fed meeting? Oh, you are so smart! In case you missed this yesterday, because I’m sure the major media outlets couldn’t muster up enough intestinal fortitude to do it, but the Fed threw a cat among the pigeons yesterday… There are a lot of things I’m thinking about, this morning, so, this should be entertaining… For me at least!OK… The Fed announced yesterday that they “expect short-term interest rates to stay close to zero at least through late 2014.” So much for the previous statement that rates would remain at current levels through mid-2013… But, 2014? And late at that! That’s just crazy, folks… But, as I expressed here many times over the years… We’re turning Japanese, yes, I really think so! Didn’t the Japanese cut rates to zero, pass stimulus after stimulus, and keep rates near zero for over a decade? Yes, they did… And… Haven’t we done close to the same thing, with our zero rates running for 6 years if they end in late 2014? Why, yes we have!
But, as I’ve always pointed out… The US consumer is different than the Japanese consumer… The Japanese are savers… We are spenders… But… As I pointed out to a group of “big guys” last week, where someone thought deflation for that long a time was OK… Yes, it does keep prices down, but you, me and the guy down the street know that prices aren’t going anywhere. And if that happens, no spending will occur, and that will shut down the economy, just like it has in Japan!
So… You should have seen the euro ( EUR ) lead the currencies higher along with gold and silver when the Fed made that announcement yesterday… The overnight markets also decided that the Fed is going in the wrong direction, and to the woodshed.
The other thing that gives me reason to pound on my chest this morning, is that Bernanke said that he was laying the groundwork for a third round of large-scale asset purchases (I told you they wouldn’t call it quantitative easing) should unemployment remain higher than the Fed Reserve would like, while inflation falls below a newly-established “target”… He went on to say, “The FOMC recognizes the hardships imposed by high and persistent unemployment in an underperforming economy, and it is prepared to provide further monetary accommodation.
Recap Snow Tire - News
That way, you won't have to be the guy that remembers he needs new tires before the winter snow begins, but keeps putting buying the tires off, and then one day he wakes up to a foot of snow on the ground… Now, he has to try to get to a tire store,
It's the guy and the snow tires story again! A day after Reserve Bank of New Zealand (RBNZ) Gov. Alan Bollard did his “I've got to say something to weaken the currency” dance, the kiwi (NZD) got a nice boost when it received a surprise: New Zealand
It's not Winter's fault, though. It's my own shoddy equipment. You may have heard about what I affectionately call "My Stupid Foot"? (It sometimes goes by other names, but this is a family newspaper.) Recap: My right foot developed tendonitis in the
Ride or Pie?!: Review: Innova 700x35C Studded Tires
Back in November, I published a "first look" article on my newly mounted Innova snow tires. After having ridden them for only a few kilometer they seemed like reasonably nice tires: cheap, not too heavy, not too much rolling resistance. Since then I have ridden the tires for approximately 1500 km and my verdict is very different now. The Innovas turned out to be a bad investment for me. The main reason for this are the steel studs. In the initial review I pointed out that steel studs have a reputation for not lasting long, and now I can say for sure: yes, they really don't. I admittedly rode more than usual this winter and a lot of it was not on snow or ice but just bare pavement. But the degree of wear just isn't acceptable. On the pictures you can see that a lot of studs have completely sunken into the tire. In addition, I have lost two studs in the front tire, despite following the manufacturer's advice to break in the tires by careful asphalt riding for the first 50 km The problem is exacerbated by the overall low number of studs. 110 studs make for light weight and low rolling resistance, but on a 622mm tire they limit the performance on ice. I got a taste of that when -- somewhat foolishly -- I endeavored to ride over a bike path covered in snow that had been turned into ice by freezing rain. I quickly realized that this probably was not a very good idea but once you're on the ice there is not much you can do. So I kept going at a very slow pace, but after maybe ten meters it was over. Wham! The front wheel slipped and down I went. I landed on my behind and aside from a painful bruise no physical damage was done. The mental damage, a loss of trust in my tire, however, was quite severe. In my post-accident analysis I've come to the conclusion that 110 studs is not enough for riding on uneven ice on a 622mm tire. A 35-622 tire has a circumference of 2168mm, meaning that the studs are about 40mm apart on each side.