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Strategies & Market Trends : Currencies and the Global Capital Markets

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To: Henry Volquardsen who wrote (3233)2/6/2002 10:33:32 AM
From: Hawkmoon  Read Replies (1) of 3536
 
personally I had given up on the stimulus package long ago.

I agree that, per norm, too much of the stimulus package seemed to be funding "make work" projects, rather than focusing on infrastructure maintenance and out-building.

What I fear is that with the likely continuing pressure on the Japanese Yen, we're going to see US companies facing greater deflationary pressures, making it hard to facilitate their recovery in earnings (unless they're buying something cheap from overseas, and incorporating it in higher value products they sell), making stimulus even more necessary (or greater tax cuts so we can choose to spend it ourselves)..

The current run in gold seems to indicate many of these fears in Japan, and potentially a topping out of the dollar (if they aren't buying $$$$, they buy the shiny yellow metal).

futures.tradingcharts.com

Btw... did y'all know that if you put the words "The IRS" together, it spells....

THEIRS??

I have to believe this is more than some "freudian slip" on the part of the bureaucrat that names this particular agency... :0)

Hawk
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