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To: LLCF who wrote (70265)2/22/2001 11:36:27 AM
From: flatsville  Respond to of 436258
 
This is where we disagree... to repeat. IMO, ESPECIALLY if the NASD melts with the dollar denoting a weak [to say the least] economy they will sacrafice the dollar to ease monetary policy. This is because of the prevailing view that both the U.S. [in the 30's] and Japan [over the past 10 years] persued a policy of [too] high interest rates and tight money which prolonged those downturns needlessly.

So you're expecting them to do the semi-smart thing? ROTFLMAO...Yeah, we disagree.

Fat line in the sand at U$D 108.50-108.



To: LLCF who wrote (70265)2/22/2001 1:44:32 PM
From: Dave  Read Replies (1) | Respond to of 436258
 
lower rates and whatever else they can dream up to prop up the 'system'... the dollar will be sacrificed.

I think you may underestimate the importance of a strong dollar, and how horrifically our economy would shrivel if half of the foreign investors who own US Treasuries were suddenly to cash in their chips and go buy Euros.

The Fed's hands are tied. Unfortunately, their feet are tied to opposing forces, and they're about to be drawn and quartered by the markets, at our expense.

Dave