Inflation Hits 12%

....if you consider that the US dollar index has dropped 12% in the past year. Bernanke is trashing the dollar, and not even denying it anymore. Look for lots of deflation in stuff you don't need, and lots of inflation in stuff you do need.

Back in May 2007, I recommended the FXY Japanese Yen currency ETF ast 82.5. Today FXY is at almost 95.

Just for posterity, since links to Jim Cramer's incredibly bad tech-bubble-top market picks are being removed from the internet, here's another permabull with some incredibly bad advice one year ago:

"Don't buy it. For months now the debate has been over whether America will have a hard landing or soft landing, the answer hinging on how big 2007's housing disaster turns out to be. Well, there won't be any housing disaster. We won't have a landing at all, soft or hard. Right now the U.S. and global economies are both accelerating.

You can see right through the housing crash story by looking at the prices of housing stocks. The market knows what the economic worrywarts do not, which is that the housing sector is already making a comeback. In the last six months housing stocks are up 24%, well ahead of the overall market. If housing were destined to fall apart in 2007 these stocks wouldn't be so strong now. Did you know that housing sales are up in the last few months, not down, and that inventories are lower than six months ago?

We're accelerating, not landing. This is true not just in housing but also pretty much across the board."

- Kenneth L. Fisher
Forbes, 02.26.07

Of course, Forbes is the magazine that once had blubbering idiot uber-shill Dennis Kneale as its managing editor (he now brings down the average anchor-IQ daily on CNBC, and that's hard to do).

I get Forbes for free and I still feel ripped off.