Is Deflation still the over-riding risk?
A lengthy, detailed, and very interesting article from welling@weeden. Mark Lapolla argues that deflation is still the over-riding risk, and collapsing credit remains the long term trend. His argument are salient and, at least to me, overwhelmingly sensible. It is a perspective that is very much at odds with the inflation driven chatter that seems to come from much of the financial MSM. Which is correct? Time will tell, but this is well worth reading for a balanced perspective.