“The thought that you can create a prosperous economy by inflating is an illusion.”
- Paul Volcker, former chairman of the US Federal Reserve.
For our latest webcast, which features an economic overview by my colleague Killian Connolly and an interview with credit specialist fund manager Andy Seaman of Stratton Street Capital, advisers to the Wealthy Nations Bond Fund, please visit our website.
The FT’s Alphaville carries a nice parody of the sort of communication with which anyone with an email account will be familiar:
“Dear Sir,
Good day and compliments. I am Dr (Mr) Benjamin Bernanke, Chairman of Federal Reserve of United States of America. This mail will surely come to you as a great surprise, since we never had any previous correspondence. My aim of contacting you is to crave your indulgence to assist us in securing some funds abroad to prosecute a transaction of great magnitude.
Due to poor banking system in America, many subprime borrowers are not paying back mortgages and banks have lost ONE TRILLION TWO HUNDRED BILLION UNITED STATES DOLLARS ($1,200bn) so far. This calamity has caused much suffering in my country. To help remedy this situation, our president, Mr Barack Obama, has authorised to be spent a sum of EIGHT HUNDRED NINETY SEVEN BILLION DOLLARS ($897bn) on stimulus plus many other good deeds like cash for clunkers. Unfortunately, since that time, we are being molested and constantly harassed by bond vigilantes who do not care that their reckless and vicious behaviour could ruin our hopes and plans.
To read more,
Download Viene la tormenta part II
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