Keeping the Historians Busy

The market is trying to hold after the treasury announced a $1.2 trillion investment; $300B in buying long-term U.S. government bonds, and the balance to purchase mortgage-related debt. The dollar fell around 4% against the euro and pound.  I think watching the dollar's value is one good measurement stick to recognize when we are reaching the 'bubble' with our government's debt creation.  The Consumer Price Index was up .4% in February, the largest since 7/08.  Remember one of my biggest concerns is inflation.  It can take time to gain momentum, but once it reaches a certain point, then it moves quickly, devaluing everything.  By the way, England and Japan are following our lead in buying debt.

I am quite vocal about how congress is now trying to back-peddle by going after AIG's bonus distribution.  That $700B bailout and that which has followed was done in a haste with no business forethought.  Congress should accept responsibility for these actions and let business get on with business.  Government is getting too far into the details of our financial system, and we history has shown that it is very inefficient.  It is during our darkest hours that we can lose our freedom, without realizing it.

Some other interesting notes:

*  60% of seniors over 60 are now postponing their retirement because of the losses in their retirement accounts.

*  5.47 million people are receiving unemployment benefits.  I wonder how many have used them up and are no longer being counted.

*  An recent article in BBC stated that in 2030 there will be about 8.3 billion people on the earth.  This will require 50% more food and energy and 30% more fresh water than what is produced today (we hear all the time about starvation and water shortages now).  Just imagine, lot of us will still be here. That is only 19 years from now.