player #2 end of message, ala "knowing" w/ nicholas cage:
where this is going in the very end is repudiation of the currency, but it will affect all fiat currencies, not only the dollar (they all use the dollar as their 'reserve' after all). iow, these debts that now look so enticing to money seeking a 'safe haven' will never be paid, and the markets will realize it at some point.
the only way to protect against that is to do what TobagoJack is doing - regularly buy physical gold. always take a part of your trading winnings and put them into gold, preferably on pullbacks, but if you buy regularly you get a good average price anyway.
we can not know when exactly the system will keel over completely, but it's a good bet that it will happen, because it has always happened historically. we clearly are a giant step closer to that point now than we used to be, but we're not there yet. if i were to guess, the fiscal and monetary crisis of the West will probably start in the UK or Ireland or both, and from there radiate outward. (Spain, Greece, Austria...). the US will eventually be dragged into the same maelstrom, but i doubt it will be where this starts. so you could perversely even see another period of extraordinary strength in both the dollar and US treasury debt before everything goes up in flames. the crisis part one episode has already shown how markets prioritize in times of rising uncertainty - they first shun the weakest links in the chain.
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