Currencies and the Global Capital Markets 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.

Strategies & Market Trends : Currencies and the Global Capital Markets

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Robert Douglas who wrote (2746)	12/27/2000 9:34:05 PM
From: Hawkmoon	Read Replies (1) of 3536

If both of these regions are economically sick, then I see no other course but worldwide recession. That's always a possibility, but I would suspect that permitting such an event would be tantamount to a declaration of surrender by Central Bankers. And I think we both know that hell will freeze over before they give up. Let's not forget that AG hiked interest rates in the US during a time of relatively benign inflation. We certainly haven't see consumer price inflation anywhere near the 6% level the last time the Fed commenced a rate raising binge. So until the rate cuts come through and change consumer psychology, reduce the cost of capital, and spur investment and business risk once again, we'll see capital migrate towards those economies that pay the highest rates amongst the 3 primary currencies. And the odds are that will remain the US. Btw, I'm always open to someone providing a positive argument for investing in Europe over the US. Thus far, few have been either willing, or able, to do so. Regards, Ron

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next