Saturday, April 18, 2009

St. Louis Weekly Monetary Base (Chart)

The monstrous surge in the St Louis monetary base began in October, 2008. There is usually a lag of 6-18 months before the "inflation" effect kicks in. Take your choice here. Rapidly rising interest rates when they try to bring the base down. Or, rapidly rising inflation when the match gets lit.

Inflation expectations are very low right now. We will show that in a chart to follow soon.

St Louis Monetary Base 418

Sum of currency in circulation, reserve balances with Federal Reserve Banks, and service-related adjustments to compensate for float, Calculated by the Federal Reserve Bank of St. Louis. Weekly, Billions of Dollars.
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Bob DeMarco is a citizen journalist and twenty year Wall Street veteran. Bob has written more than 500 articles with more than 11,000 links to his work on the Internet. Content from All American Investor has been syndicated on Reuters, the Wall Street Journal, Fox News, Pluck, Blog Critics, and a growing list of newspaper websites. Bob is actively seeking syndication and writing assignments.

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