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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: Silver Super Bull who wrote (909)9/22/2003 11:31:41 AM
From: Jim Willie CB  Respond to of 110194
 
we are to hear a lot of garbage nonsense propaganda in the next couple weeks about benefits to multinational US firms

they got a pass in last 18 months with the euro runup
but with Asian currency runups, bigtime trouble
many reasons:
- we have an absolutely huge trade deficit with them
- they hold the majority of the 46% of foreign-held USTBond debts
- our consumer addiction dependence is largely with Asian products
- Asian banks have a large hunk of USTBonds in bank reserves, which due to fractional banking, puts their entire economy at risk
- as our interest rates rise from imported inflation, Asian holdings in USTBonds lose value with US$ and principal (double whammy)

that is enough, surely more than that
/ jim