Hyperinflation?

Is it because I am simple or is something going on that is beyond the comprehension of us mere ‘men in the street’.

If inflation in US consumer prices rose 3.7% in the year to November and if, as we all assume, a colossal amount of new dollars are entering the financial system with even more to come that must result in eventual hyperinflation in the US.

On top of which the Euro zone, the worlds largest single economic region is growing its money supply by 8.7% to the year ending this November, not to mention the even direr straits of the UK situation, that must also result in an immense rate of inflation in the region in the future then how can US 10 Year Treasuries find buyers at the lowest yield, below 3%, for ten years.

Lets not forget to mention that the dollar has been falling in value for several years, and every current indicator sees the fall continuing.

Who possibly can be finding value in these instruments in any thing but the shortest time frame as a speculative play? Somebody somewhere must know the answer.

Please let us know your theories, or even hopefully the facts, or explain to us why we are being moronic. It just does not add up unless Mr Bernanke et al are playing even more mind games with taxpayer’s money- and won’t that make a change!