Elliott Wave International Reveals Why Deflation is Past the Point of No Return

Oct. 11, 2010 - PRLog -- Deflation will soon take hold of the U.S. economy, according to a free report now available from Robert Prechter and Elliott Wave International. Because of the tremendous, unprecedented  build-up in credit, the deflationary outlook is grim. Prechter's new, 90-page Deflation Survival Guide reveals the truth about inflation, deflation and hyperinflation and which is the most imminent threat to your assets right now.

Prechter, one of the world's leading proponents of the leading proponents of the deflationary scenario, warns that the global economy will be hit by a deflationary spiral that will wreck havoc on all aspects of the economy and financial system. "The biggest event that the history books will record is not the jumps in investment markets from 2003 to 2006, but the across-the-board collapse that is about to follow." His advice: "Cash is going to be king, so make sure you have some."

Deflation results in falling prices due to a rare contraction in the money supply. In the coming years, the effects will be felt across the board. According to the report, banks and insurance companies will fail, mutual funds, stock portfolios, bond portfolios and other forms of investments people think they own will disappear. However, Prechter says deflation doesn't have to be something to fear. Those who anticipate it and prepare for it can thrive in an environment that combines falling prices and rising value of the dollar.

While most financial analysts and news reporters are focused on the inflation vs. deflation inflation vs. deflation debate and the Fed's attempts to curb deflation, this revealing report shows how the Fed's efforts could ironically serve to aggravate deflation, not relieve it.

"As far as I can tell, Elliott Wave International is the only firm that houses analysts warning of an inevitable, full-scale, economically devastating deflation. You can bet that when it is in full swing, dozens or hundreds of commentators will claim that they warned of deflation, and our voice will be lost in the clamor."

Now is the time to access EWI's wealth of free resources on deflation, including the just updated Understanding Deflation eBook to find out how you can protect your assets in the coming deflationary depression. It's free to download at the following URL: http://www.elliottwave.com/deflation.

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Elliott Wave International, the world's largest independent financial forecasting firm, covers all major financial markets, 24 hours a day. Subscribers include banks, hedge funds, insurance companies and pension funds as well as individual investors. Elliott Wave International Learn more at http://www.elliottwave.com/inflation-vs-deflation.aspx.