Citi Warns “Fed Is Kicking The Can Over The Edge Of A Cliff”
by Tyler Durden
ZeroHedge.com
11/14/2013
It is becoming increasingly obvious that we are seeing the disconnect between financial markets and the real economy grow. It is also increasingly obvious (to Citi’s FX Technicals team) that not only is QE not helping this dynamic, it is making things worse. It encourages misallocation of capital out of the real economy, it encourages poor risk management, it increases the danger of financial asset inflation/bubbles, and it emboldens fiscal irresponsibility etc.etc. If the Fed was prepared to draw a line under this experiment now rather than continuing to “kick the can down the road” it would not be painless but it would likely be less painful than what we might see later. Failure to do so will likely see us at the “end of the road” at some time in the future and the ‘can’ being “kicked over the edge of a cliff.” Enough is enough.
The Rest…HERE
