We'll see. Very bearish action in the buck this Friday, the
inability to rally on large interest rate revision, which
was buck-positive. If it starts
dropping 1% a day now, the game is truly over. Maybe it's
too early to tell, we'll see next week, when gold
is "supposed" to drop (buck to rally). If it doesn't, oh
well... that means foreigners
are finally walking away from USD assets, which can't be
bullish for anything - bonds, stocks, and, of course, the
dollar. It will be the dollar run, with buck dropping 1% per
day, TNX skying, stocks eventually dropping like a rock.
Trillions could be exiting the jammed door, thanks to Ben who
screwed them. We were always wondering "when" or "what will
be the trigger?". Personally, I think the rate cut on September
18 could have been the trigger, as BB lost credibility with
our foreign creditors. There is simply no way the Fed can
stop a dollar run now. |
