Agilent Technologies (A) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Agilent Technologies (A)

A 146.36

+2.1%

Oct 31 9:30 AM EDT

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Kirk © who wrote (580)	12/4/2005 8:53:27 AM
From: Rarebird	of 620

>>Repatriating $970 million of off-shore earnings under the HOMELAND INVESTMENT Act.<< The Homeland Investment Act is a special act of Congress which allows US corporations with offshore assets and investments to repatriate their foreign earnings back to the US and pay a tax of only 3.5 percent instead of the normal US corporate tax rate of 30 percent. This is a tremendous tax break for US corporations, but it has a "use by" date. This date is December 31, 2005 - just under one month from now. Foreign earnings are held in foreign currencies. To get them back to the US requires that they be sold for US Dollars. It is this selling, aided and abetted by the Fed rate increases, which has sent the US Dollar up and kept it up this year. The "special" Homeland Investment Act ends on December 31. The Fed is likely to stop its rate rises sometime in the first quarter of 2006. This will combine to pull the underpinnings out from under the US Dollar. The Gold Market has been rallying on this anticipation. Bottom Line: I'd look for the USD Bear to resume with a vengeance in 2006 and Gold to hit new all time highs. Moreover, in March 2006 comes the arrival of the Iranian Oil Bourse which will make a global market in Oil expressed in Euros. This Iranian move will coincide with the Fed's decision to pull the US M-3 behind the monetary curtain by simply not reporting it! I just hope Bush doesn't do something stupid like invade Iran. Monetizing the debt without reporting it is fine with me. I doubt Wall Street would mind either. "Don't ask, don't tell." Just do it. I know what Central Bankers are all about and how sly they can be. They are just special agents of their respective governments. Sure, they are suppose to be independent. But that only works out in principle, not in practice. All that matters is that one be on the right side of the trade and be debt free. With Dovish Bernanke at the helm, there is the potential here for a big time major league equity blow off of gigantic proportions. The only question is whether that blow off is coming in 2006 or 2007. If we don't get a big economic slow down or Recession in 2006, 2006 could be the year. I'm extremely bullish but monitoring things quite closely.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next