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

To: George K. who wrote (25237)	1/24/2005 10:39:59 PM
From: Wyätt Gwyön	Read Replies (4) \| Respond to of 110194

no, Faber was being quite serious. Faber and Zulauf are the people i most respect out of the Roundtable group, because they put things in perspective. that is to say, even though they both think USD is toast in the long term (along with all the fiat currencies), they can tell when too many lemmings have boarded the Anti-USD Titanic, and it's time to jump overboard. Faber also made a similar heretical call for a USD rally early last year (actually i think he made it in late 2003). meanwhile, the dollar perma-bashers were hooting and buying the gold stocks all the way up to the top. IIRC Richard Russell said he was buying NEM the day it hit 50--the very top of the gold stocks. (then the cheerleaders became doubtful and started puking up their gold stocks in the spring and they became near-suicidal. that marked a great time to buy.) this time around, the gold stocks have already keeled over and seem to be pointing the way downward for the metal and the overpriced anti-USD currencies (EUR, AUD, NZD, CAD, CHF, etc.). who knows, we may get a tremendous dollar rally. meanwhile, in the face of the bad "news" today out of that Financial Times "piece", USD said "I pop my pimples in your general direction" and refused to go down against the overpriced euro. NEM refused to rally in spite of all the Volvo drivers who pulled over to the side of the road to market-order 1000 shares of NEM as they listened to the FT writer on NPR. just the kind of non-confirmations i want to see. as Mish is fond of pointing out, last year WS economists were nearly unanimous in calling for higher interest rates, and so they are this year as well. the same could be said regarding consensus predictions of USD's direction. thank god for margin calls and one-dimensional traders--otherwise it would be hard to make money in the markets.