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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: ild who wrote (48140)12/25/2005 3:05:30 AM
From: kris b  Read Replies (1) of 110194
 
“Who exactly has borrowed in US $? Foreigners didn't, did they?”

Everybody, just ask Buffett and all the guys playing the carry trade when the US rates were at 1.25%. US $ will collapse but not before all these guys get squeezed by the credit contraction/fewer US $ in circulation. The only way to crash US $ now is to rescue a credit/housing bubble by tripling the credit creation. Like UncleBigs said “While the user is deathly ill, the drug pusher continues to offer a plate full of fresh drugs. At that point, the user doesn't take anymore or he'll die “

Is it doable? Probably. Is it suicidal? For sure.
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