Comments on: Buffet predicts massive inflation http://shareholdersunite.com/2009/05/10/buffet-inflation/?utm_source=rss&utm_medium=rss&utm_campaign=buffet-inflation Opportunities in smallcaps Tue, 15 May 2012 21:11:29 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Gold bulls funny logic — shareholdersunite.comhttp://shareholdersunite.com/2009/05/10/buffet-inflation/comment-page-1/#comment-20645 Gold bulls funny logic — shareholdersunite.com Fri, 04 Dec 2009 15:16:42 +0000 http://shareholdersunite.com/?p=1110#comment-20645 [...] is in fact what we’ve always said would happen here, and the market reaction seems entirely consistent with that, higher rates, lower [...] [...] is in fact what we’ve always said would happen here, and the market reaction seems entirely consistent with that, higher rates, lower [...]

]]> By: Eleven risks threatening the world economy — shareholdersunite.comhttp://shareholdersunite.com/2009/05/10/buffet-inflation/comment-page-1/#comment-10339 Eleven risks threatening the world economy — shareholdersunite.com Mon, 08 Jun 2009 03:26:13 +0000 http://shareholdersunite.com/?p=1110#comment-10339 [...] The level of fiscal and especially monetary stimulus is truly unprecedented, Friedman’s dictum that “inflation is always and everywhere a monetary phenomenon” is still striking real fear into people, like this greatest of investors. [...] [...] The level of fiscal and especially monetary stimulus is truly unprecedented, Friedman’s dictum that “inflation is always and everywhere a monetary phenomenon” is still striking real fear into people, like this greatest of investors. [...]

]]> By: adminhttp://shareholdersunite.com/2009/05/10/buffet-inflation/comment-page-1/#comment-8408 admin Mon, 11 May 2009 21:08:33 +0000 http://shareholdersunite.com/?p=1110#comment-8408 True, but two things: 1) There really wasn't any alternative to stimulus, deflation is by far the bigger risk at present, especially in the circumstances we're in (balance sheets ballooned by debt) 2) The nature of central banks is to be wary of inflation, so I think we'll see the Fed move when the time is ripe. Long-term interest rate might very well rise in response to higher inflationary expectations and lack of buyers for government bonds anyway, as a sort of automatic inflation fighter of sorts (as it cools of the economy). True, but two things:
1) There really wasn’t any alternative to stimulus, deflation is by far the bigger risk at present, especially in the circumstances we’re in (balance sheets ballooned by debt)
2) The nature of central banks is to be wary of inflation, so I think we’ll see the Fed move when the time is ripe. Long-term interest rate might very well rise in response to higher inflationary expectations and lack of buyers for government bonds anyway, as a sort of automatic inflation fighter of sorts (as it cools of the economy).

]]> By: Darcy Pattenhttp://shareholdersunite.com/2009/05/10/buffet-inflation/comment-page-1/#comment-8407 Darcy Patten Mon, 11 May 2009 20:54:54 +0000 http://shareholdersunite.com/?p=1110#comment-8407 Assuming that the government does the right thing. Numerous times over the past 6 months you have pointed out government action or timing that is less than desired.I am not confident they will hit this one out of the park. Assuming that the government does the right thing. Numerous times over the past 6 months you have pointed out government action or timing that is less than desired.

I am not confident they will hit this one out of the park.

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