In his column "Ominous Signs for the Economy; Patriot II - Are You All Reaganed Out Yet?" political-economic analyst Al Martin writes,
"Bloomberg News reported on June 10th that the Federal Reserve is expecting to double M3 money growth targets by the end of the year. This is virtually unprecedented. In other words, what they’re doing is flooding the so-called system with money that would provide liquidity to maintain markets in the event of some economic debacle."
"This is the most ominous sign in the economy to date, the contraction in M1 and M2 money supply growth. At the same time there has been a tremendous expansion in M3, which is the largest measure of liquidity. Traditionally this is what the Fed does when it is expecting some sort of serious economic or market meltdown. What does it all mean?"
Al Martin, a former independent trader and now an independent market analyst, writes that this move by the Fed may be a portent of an unprecedented economic debacle -- just in time for the November elections.