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Strategies & Market Trends : Drillbits & Bottlerockets

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To: Jorj X Mckie who wrote (7352)4/8/2001 7:49:49 AM
From: Diana  Read Replies (2) of 15481
 
Thanks to “kleht” on the Ask Dr. Bob thread for a very interesting read:
Message 15627391

It is not just in Japan that the noose is tightening. I believe the deflationary forces that are evolving, and the weakness in the currencies of virtually every country ex U.S. will eventually do the trick. I would cite the Euro as the key currency to watch, but you can almost take your choice. It is my opinion that in the next year the major countries of the world will get in a contest to see who can drive their short-term interest rates down the most to try to stave off their economic problems. Japan is in that mode already, and the news this morning is that the U.S. will not accept a lower yen policy to solve their ills.

If AG is also of this opinion, perhaps it is one of the reasons he is not frantically lowering rates.
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