[alain.ogura]

When the fear of recession hit in 2008, the FED tripled the money supplied and averted recession (to be hit harder in the future).

With the FED already printing $85 billion a month, what are they going to do now? Print to mass inflation without going to hyperinflation?

[alain.ogura]

When interest rate goes up, gold price will start going down. That makes sense because the cost of currency is higher.

Question: Treasuries that were issued at lower rates will crash since new treasuries will be issued with a higher rate of return. If so, wouldn’t those treasuries with low yield get dumped on the market? What will they buy with the money? My guess is gold, but that would create an unusual case where gold and interest rate go up at the same time? Is that a likely scenario?

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