The Epic American Credit and Bond Bubble Laboratory 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 : The Epic American Credit and Bond Bubble Laboratory

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: NOW who wrote (30777)	4/16/2005 12:31:07 AM
From: Taikun	Read Replies (3) of 110194

tooearly, I think we just reached agreement. It won't happen overnight, then, will it? It took time for goods to be priced in USD from Pounds, and trade didn't shut down. How long do you want to wait in goldthinking the CBs have it wrong and will recklessly abandon USD without a replacement. That seems to be the catalyst for the gold trade. So far the move to price goods in other currencies hasn't started yet, and when that process begins, I will absolutely agree that the USD has lost its role in the world economy AND it would be prudent to back up the truck on gold if CBs start abandoning the USD without a replacement because they will have lost their mind. So, yes, global trade is at risk if the USD is abandoned without CBs replacing it with another reserve currency in proportion to their trade. ie. on a trade-weighted basis. The CBs cannot make major adjustments to their reserves in the short-term. They cannot reallocate away from USD. Therefore, the inflection point that favors gold is less likely to come from something the CBs do vis a vis the USD. AIMVHO D

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next