Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

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

To: The Vet who wrote (57688)	8/29/2000 10:13:25 PM
From: d:oug	Respond to of 116763

The Vet, Your post mades we wonder what a list would look like if it contained all countries in debt to other countries. Not sure, but i think that England may not yet have fully payed back to the USA money it owes when England brough on credit stuff from the USA during World War II. Lots of talk about debt relief for poor countries, especially those with corrupt governments that have raped any wealth produced by their citizens, and steal any humanitiarian aid given to feed their sick and poor so that they can fatten up secret bank accounts either for when they transfer power to others in the fold, or by chance another outside corrupt group forces them to flew the country. <<The US lives well on the worlds credit. What will happen on the day that those debts come due. If they insist on proper payment do you nuke em?>> Since the USA has the military might and power all it has to do is either have the IMF pay off those owed money with the massive amounts of already stolden usa citizens cash through taxation, or the USA could ask for debt relief and cancel void null them with a "Don't like that? Whata you gonna do about it?" Guess the simple answer is in tune with that expression, "If the USA has a cold, the rest of Earth gets sick." And to go the next level, if the USA is crushed under a mountain of debt and worthless funny money in hyper inflation caused by too many paper dollars and that massive credit load that can not be payed into, just as physical gold can not be transfered into those paper golds sheets, then if so one might wonder where planet Earth is as all one can see is a very sick USA and everything else looks like something needed euthanasia to put it out of its misery. Reminds me of an article i read at the LeMetropoleCafe where someone described The Perfect Scam as i think it was in reference to that recently bankrupted precious metals refinery that did too much bad trading in paper precious metals and when the holders of the papers wanted the physical, ooops no can do, ain't there, will this paper gold being newly painted a golden color help? What made it a good scam is that the company simply went into that chapter 11 bankruptcy place and obtained protection from all those folks con'ed outta their physical. Something like a person robbing a Bank of a million dollars and going to Lost Vegas and gambles it and loses all of it and when the police + FBI capture him he declares chapter 11 and protects himself from a crime and jail. So, if USA crashes and IOU's and Fraud and Etc. appear at the door, oops bankruptcy chapter 11/7 for USA... sorryyyyyyyyyy no money to pay off those IOUs, and yes we keep the House. doug

To: The Vet who wrote (57688)	8/29/2000 10:39:10 PM
From: Hawkmoon	Read Replies (3) \| Respond to of 116763

The US lives well on the worlds credit. What will happen on the day that those debts come due. Wait a minute here... Which nation on this planet is currently running a governmental budget surplus as a result of the favorable economic conditions? Conditions that create more value for each investor dollar than do other economies? We know it isn't Japan, where interest rates are at .25% and their national debt is approaching 130% of their GDP (with an increasingly aged population who will be stuck paying the tab down the road). And it isn't Europe where governmental regulations, subsidies, and the extremely high taxes needed to fund their generous entitlement programs are causing capital to flee and putting them in quandary comparable to that which Japan faces. The ECB is set to raise rates this Thursday and the question will be whether they raise them high enough to support their currency (equivalent to an intervention), or let the Euro float lower to new lows in order to prevent an interest rate induced recession. Like many folks, I'm closing watching what occurs this week with the dollar and the US markets. We are currently setting up for a big move and I suspect that it will be ignited by a currency related event. Either the Dollar makes a new high and continues an uptrend (ensuring the Euro is shorted in a "carry trade"), or it fails and we have another correction in the markets that won't get resolved until tax loss season is over this November-December. Now the ECB could raise rates excessively high in order to support their currency, but as a result they will be creating the conditions where EEC nations may become so divided that it may tear itself asunder and destroy the concept of a unified currency. Remember that the Euro is the currency of the European Confederation, not the currecy of a unified Federation. Confederations exist only as a result of mutual consent and the EEC is too new for them to be taking such risky actions. Just my opinion. But do I think that the Dollar will reign forever?? Not particularly.. But right now the last thing Japan and Europe want is for the Dollar to decline and limit the favorable export conditions they currently enjoy. Conditions that are crucial to sustaining economic growth. Very complex situation they are facing and there are a whole lot of variables that must be factored in for analysts to truely assess what they will do. And in the end it will all come down to the decisions of a few powerful central bankers who are guiding monetary and economic policy. Also, note that only NOW is Europe undertaking the necessary reduction in tax rates that the US implemented back under Reagan. It will require many years until the effect of those tax cuts will be felt on their economic growth. Regards, Ron