QE-2 was our Zimbabwe moment.............from Rico

The FED'S announcement of QE-2 was not exactly a surprise, but as with all official 'announcements' these days, it was a half-truth/half-lie depending upon whether you are a "progressive" or fiscally sane.

QE-2 was our Zimbabwe moment. It amounts to almost $1 trillion and not the mere $600 million we're being told. The ongoing efforts by the FED were....well, too bothersome and pesky to trouble the little people with. It might upset them to know that the 'real' number is at least $900 million.

QE-1 at a nominal price tag of $1.7 trillion didn't work. QE-2 at $0.9 trillion won't work, either. Stupidity is repeating your actions and expecting different results.

Looking at results to date, the US Dollar has lost 50% of it's purchasing power since 1986. It's dropped 11% just since June of this year. Some really smart people are saying there is more ahead....maybe a further 20% decline. Our stock markets may be UP, but with the currency melting DOWN, it's a fool's game to think 'whee, we're getting rich!' when the 'real' value of US-denominated assets is sinking like a rock and we should be realizing 'we're freaking doomed!'

Let's face it. Zimbabwe's stock exchange also soared, up until the Z$ became worthless leaving many Z$-trillionaires broke. I'm looking a the Z$ 100 Trillion Dollar note on my wall now, and wishing I had an eqiually defunct Weimar note to frame with it....along with a Federal Reserve Note. That would complete the visual trifecta of Keynesian folly!