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Politics : Ask Michael Burke

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To: Knighty Tin who wrote (32198)9/3/1998 5:27:00 PM
From: GuyNixon  Read Replies (2) of 132070
 
MB:

The US dollar, your favorite currency, is finally crumbling. I know you have been bearish on US govt. bonds for sometime. What are your thoughts on these factors?

Positive:
a)Domestic money switching from equity to bonds
b)Softening economy in 1999 may induced the Fed to print out a lot more money.

Negative:
a)Foreign capital pulling out
b)US Banks in deep trouble

Do you see a weaker dollar a good development for the world economy?

Guy
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