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He has several tools at his disposal (interest rates, money supply and bank reserves) and he has not been consistent in the past. For instance, in 1999 with interest rates generally moving higher, the monetary base was expanded greatly in the last quarter in anticipation of a Y2k crisis. This probalbly fueled the specualtive bubble and when the policy was reversed in early 2000, equity prices came tumbing down.
>>> proffittak@xxxxxxx 12/12/00 06:28AM >>>
m3 is even more bearish with latest reading
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