Oil closing in on $94 a barrell, dollar plunges to record lows

The damage Bush has done to the country is immeasurable.

http://www.ft.com/cms/s/0/01d0752a-8657-11dc-b00e-0000779fd2ac.html?nclick_check=1

Oil hit a new record high of $93.80 and the dollar struck a new low on Monday as investors showed their growing certainty that the US Federal Reserve will cut interest rates on Wednesday.

The same conviction also saw gold approach $800 a troy ounce – its highest level for 28 years – while equities made gains. The move into gold reflects how investors fear rising inflation from the twin forces of higher oil prices and a weaker dollar.

Weighing on the dollar was the outlook for lower borrowing rates versus those of other economies when a two-day meeting of the Fed concludes on Wednesday.

Investors in Fed funds futures have largely priced in a 25 basis point cut in the 4.75 per cent overnight rate amid a deteriorating housing market and recent large write-downs at US banks.

“The Fed faces a quandary as they need to ease in order to get the economy going, but a weaker dollar, while good for US exports, does raise the concern that inflation will rise,” said Gerald Lucas, senior investment adviser at Deutsche Bank.

Higher commodity and energy stocks propelled global equity markets while US multinational companies were buoyed by further weakness in the dollar.

Gee Fed, thanks for all your concern.

Meanwhile, out here in the real world we've already been suffering real inflation for 7 fucking years. Some staple products have doubled in price.

All seen in Florida in the last year and a half.
Yet, they still seem capable of squeezing out good news somehow!

a rosy fable, a fairy tale at best that bear no resemblance to reality 'cause they are nothing but god-damned lies.