Exactly Why This Time IS Different And the Fed Will Be Powerless to Stop What’s Coming

Tuesday, April 3, 2012
By Paul Martin

by Phoenix Capital Research
ZeroHedge.com
04/03/2012

Over the last two years, I’ve been caught into believing a Crash was coming several times. In some ways I was right: we got sizable corrections of 15+%. But we never got the REAL CRASH I thought we would because the Fed stepped in.

So what makes this time different?

Several items:

1.The Crisis coming from Europe will be far, far larger in scope than anything the Fed has dealt with before.
2.The Fed is now politically toxic and cannot engage in aggressive monetary policy without experiencing severe political backlash (this is an election year).
3.The Fed’s resources are spent to the point that the only thing the Fed could do would be to announce an ENORMOUS monetary program which would cause a Crisis in of itself.

Let me walk through each of these one at a time.

The Rest…HERE

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