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Strategies & Market Trends : Heinz Blasnik- Views You Can Use

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To: LLCF who wrote (615)5/2/2003 1:01:45 AM
From: GraceZ  Read Replies (1) of 4912
 
I'm particularily bearish on the dollar because of the vast pool held as reserves while more is being pushed into the resevoir.

One of the reasons I previously pointed out the huge increase in the percentage of currency in the money supply numbers is because currency is 1:1 whereas, reserves used for something like C&I are 1:10. There's no deader money in a modern economic system then currency.... unless you are talking about the dead loss locked up in housing (speaking in a macro sense). I always wonder what could happen in a place like CA if those tiny little million dollar houses were closer to what they should cost. Spend 160k for a house and then use the remaining 840k to start a small business. Multiply that by the thousands and you have some economic fuel.
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