Fed says deflation unlikely, but jury still out

Updated

What's one thing the U.S. and global economies can do without? They can do without roughly $1.6 trillion in toxic assets.

O.k., that we know, but what's something else the U.S. and global economies can do without? Deflation. That's correct, deflation -- the other dreaded 'd' word. For typical investors who have just seen the American government pump more than $9 trillion into the financial system over the past 18 months via fiscal stimulus, emergency spending, liquidity measures, stock and bond purchases, and related stabilization measures, deflation might be the farthest thing from their minds.

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