SI
SI
discoversearch

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 coming US dollar crisis
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: RockyBalboa who wrote (20754)6/10/2009 6:59:11 AM
From: Real Man2 Recommendations  Read Replies (1) of 71456
 
This smells like we are on a verge of a Black Swan, so
we must be careful. The catalyst? QE not working and
becoming QT. Kinda like Peg break in normal currency crises.
As we discussed this Spring, it was likely to happen, and
it sure did. So far mortgage rates are still lower than
last year. Rates are 100 bp above where the Fed wants
them to be. If the bond keeps crashing from here, so
will stocks. So far the correlations did NOT change, and
let me emphasize that again for the bearish types -ggg-

The "risk free" rates went up, but spreads declined, so for many
borrowing costs are still lower. However, not by much at this
point, and in some cases they are higher. If rates keep soaring,
declining spreads won't help.

It almost imperative they organize a stock market correction
to bring down the rates and pump the dollar. We are seeing
distribution - futures pump, and cash dump. I guess the
banks want to sell stock at high prices to pay back TARP. -g-
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News