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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Bobby Yellin who wrote (37921)	7/29/1999 12:09:00 AM
From: lorne	Read Replies (2) \| Respond to of 116955

Hi Bobby. Wish I had the knowledge to answer those questions about Japan in your last post but all I am able to do is ask more questions and hope someone will come up with an answer. About 3 1/2--4 yrs. ago the USA was exporting its way out of trouble with a low dollar and the world was in a currency crisis because of the low dollar. Today the US$ is king and the world is dependent on the strong US$ so they can export there way out of trouble but it appears to me that the USA is like a sponge absorbing all the worlds exports, it is also the place for others to store and maintain their value. At some point the sponge will not absorb anymore and IMO that time is very near. You said >> " It seems as if a lot of foreign money has flowed into Japan by deep pockets..wonder if deep pockets are helping to keep the Yen up to get back their money ." <<< I think that the deep pockets you refer to are those who know that the sponge is almost full and they are desperately looking for somewhere to store their value. The following is the story of the currency crisis of a few years ago in 1995. I look at this on occasion thinking there may be something here to explain the state of the world economy today or maybe a hint of what's yet to come, so far no luck. Think I posted this before. usia.gov Maybe you or someone could answer this. World wide countries continue to devalue their currencies I guess so they can gain some advantage in exporting. When they devalue is it in relation to the US$ which is the reserve currency or all currencies.? When the US$ devalues what is it in relation to and must some other currency increase in value greater than the US$.? Take care Lorne