Agreed. Business week made argument that weakness in current account & Trade figures paint a picture of trouble ahead for U.S. But that won't do any short-term damage to the dollar. Gold bulls should hope for a recovery in Asia, which will cause the dollar to drop.
Euro , IMO, will be a mess. 12 countries(not to mention former enemies), one monetary policy?? Europeans, just like the Japanese, are famous for their bureaucratic prowess and their corresponding financial ineptitude(Airbus, Credit Lyonnais, Eurotunnel, SNCF, nationalized airlines(all of them), ERM, etc.) This mother of all bureaucratic schemes will be their Waterloo. Little wonder that Blair, one of the most intelligent pliticians in the world, has kept the U.K. on the sidelines. |
