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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?


To: TH who wrote (5719)5/6/2004 12:19:12 PM
From: KyrosL  Read Replies (1) | Respond to of 116555
 
how this "induces" a contraction in the US account deficit

Because when they diversify out of the dollar, the dollar drops, which eventually corrects the deficit. Of course, AG wouldn't want to come straight out and say the dollar will drop.