Who thinks that world inflation will come down next year?

KenTrester answered one year ago …

Actually, I've been sounding the deflation alarm for several weeks now to my Maximum Options and Fast Options Profits subscribers. And the world's central banks seem to have finally come around to join our point of view.

One must wonder how c collapsing home prices, crashing commodity prices and freefalling stock prices could not be considered deflationary? In response, the central banks recently began a coordinated move to lower interest rates.

Of course, whether or not lower rates can work some magic remains to be seen. The old adage, "you can't push on a string" remains at in place.

The Fed can offer up as much free money as the financial system wants to see, but until someone is willing to put that money to work, credit markets will remain frozen.

We saw a nice rally Monday on the heels of Fed Chairman Ben Bernanke's plea for another stimulus package, but the problem is really those frozen markets combined with falling property values that are the root cause of the current crisis. Until those are addressed, everything else is simply a bandage.