DJ, What say you about G7 in Florida?
I am thinking, perhaps foolishly:
(a) The Europeans are not worried about the EURO at current rate (it is only 7% higher than when issued)
(b) The Europeans are happy with their economic performance to date
(c) The Chinese, not represented at the G7, will do nothing except to repeg to basket some months down the road, months depending on US (presidential candidates' attitude towards Taiwan, N.Korea, et cetera and so on and so forth, just chips to be traded even if the trade has to take place per own interest in every case); and they will continue to spending their Dollars for things and paper (oil/gas fields, Euro, AUD, CAD, etc)
(d) The Americans are convinced that a depreciating Dollar is the way to go, in the footsteps of the Japan bubble-foam-fizz cleaners
(e) The Japanese are convinced they can print Yen, buy
Dollars and invest Dollars in China
But I also realize that the truth doesn't matter in the short term and can be interpreted every which way, and so I am not sure of CGE (Currencies, Gold, Energy) market reaction, but I will buy all three should they tank, with borrowed Dollars if necessary.
Chugs, Jay |
