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

To: russwinter who wrote (2448)	11/19/2003 5:01:50 PM
From: yard_man	Read Replies (1) \| Respond to of 110194

>>and you don't do that by printing more money, unless you really want a panic.<< yeah -- you have to have accomplices and a lot of them for printing to work -- that's the pt -- between default and everything remaining copascetic there is a large spectrum of things that can happen. Decline in the dollar to date is much worse than many think because of the wide foreign ownership -- you can't compare a % decline in today's environment to a similar percentage decline during prior periods of dollar weakness ...

To: russwinter who wrote (2448)	11/19/2003 5:15:47 PM
From: Wyätt Gwyön	Read Replies (1) \| Respond to of 110194

don't think I've ever used the term, "default" your actual words were that the US would be need "an IMF style bailout". what is a bailout if not assistance to prevent (or address) default. in any case, the US govt will NOT need an "IMF style bailout" on its sovereign debt. why would they need an "IMF style bailout" when they have a printing machine which is expertly operated by Ben Bernanke at a cost of 0 cents per dollar issued? , I'm zeroing in on cost of money, interest rates, and credit risk that foreigners will demand rising interest rates are one thing; IMF bailout another. i would agree with you that at some point the world could WELL assign a MUCH HIGHER risk premium to the US. and this may raise the cost of borrowing for all, including the US govt.