In response to:

Flying High on Borrowed Wings

willis9 Wrote: Apr 02, 2013 2:29 PM
Quantitative easing will never end, it is true. Governments seem to want some level of inflation and that has been the policy as long as we have had a fed. Paying back govt. debt with cheaper dollars helps to hide the spending problem. We can live with small amounts of QE , but massive QE will result in eventual massive reset.

After selling off an astounding 56% between October of 2007 and March 2009, the S&P 500 has staged a rally for the ages, surging 120% and recovering all of its lost ground too. This stunning turnaround certainly qualifies as one of the more memorable, and unusual, stock market rallies in history. The problem is that the rally has been underwritten by the Federal Reserve's unconventional monetary policies But for some reason, this belief has not weakened the celebration.

Although the Fed has been tinkering with interest rates and liquidity for a century, nothing in its history could prepare...