past/present: Three Extremes Ongoing. 2/27/07, per Bill Gross: "Contained destruction" is the Fed's aim.

[edwha...@yahoo.com]

Three Extremes Ongoing
"Real Dow & Real Homes & Personal Saving"
http://homepage.mac.com/ttsmyf/RD_RJShomes_PSav.html

At
http://www.pimco.com/LeftNav/Featured+Market+Commentary/IO/2007/IO+March+2007.htm
Bill Gross (of Pimco) writes
...
It's stocks, private equities, corporate buyouts and levered risk
spreads that really are front and center on the Fed's agenda because
they - not CPI inflation - represent the future threat to steady
growth via their exuberance.
...
...
Contained "destruction" is what the Fed wants to see before short
rates can be lowered.
...