Showing posts with label dollar. Show all posts
Showing posts with label dollar. Show all posts
9:57 PM
We are living on Fed dollars. The Federal Reserve has decided to use the price of financial securities as a signal that its efforts are yielding results. The trends of successive Fed programs yields smallet and shorter-lived boosts.
Source article and chart from zerohedge.com
4:35 PM
Well, is QE3 imminent or not? Support for Bernanke's plan is growing all so slowly. Central bankers are still searching for solutions to the European contraction. They'll figure a way to loosen the money supply. When that happens, commodities will rise in price. There was recently a 20% sell-off in commodities. Commodity traders are watching inflation. If higher inflation causes a U.S. dollar weakening, this will be a good bounce for commodity prices.
8:52 AM
Right now could be the calm before the storm as far as the debt goes in the United States. The U.S. is in the spot of a good thing however with U.S. assets in demand over the European situation. The U.S. can print its own money.
Debt at the federal level is just about at 100 percent of GDP. The crisis level is 110 to 120 percent of GDP, but the U.S. is running debtsat 8 percent of GDP per year. This puts a crisis mode situation in the mix in about 2 to 3 years.
In that time the bond market could go south, pushing interest rates higher. The dollar value will go down too. Anti-dollar instruments may be a good idea as far as investments go.
Get you free copy of the Great Super Cycle - READ MORE.
Debt at the federal level is just about at 100 percent of GDP. The crisis level is 110 to 120 percent of GDP, but the U.S. is running debtsat 8 percent of GDP per year. This puts a crisis mode situation in the mix in about 2 to 3 years.
In that time the bond market could go south, pushing interest rates higher. The dollar value will go down too. Anti-dollar instruments may be a good idea as far as investments go.
Get you free copy of the Great Super Cycle - READ MORE.