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

To: ild who wrote (26419)	2/14/2005 11:38:41 AM
From: Haim R. Branisteanu	Respond to of 110194

sure - our freedom and military power

To: ild who wrote (26419)	2/14/2005 11:59:16 AM
From: Wyätt Gwyön	Read Replies (1) \| Respond to of 110194

ultimate use of USD would be returning them back to US by buying something tangible in US. but aren't there huge swaths of USD in circulation abroad? it seems they do not all have to make their way back to US soil to be of use, partly due to the global use of USD for commodities and also black market usage (perhaps shifting to the euro in many places). Japan is welcome to come buy our real estate again. the RE bubble is certainly primed for them, and Rockefeller Center is probably ready to hit another all time high. -g-

To: ild who wrote (26419)	2/14/2005 12:48:16 PM
From: mishedlo	Respond to of 110194

The ultimate use of USD would be returning them back to US by buying something tangible in US. Is there something here that Japan, China etc would want to buy? There is nothing here they should want to buy. Thus they have nothing better to do with them than buy treasuries and agencies. The problem comes when they give up on the latter. For the time being, what money comes into equities is supportive of the market. If they would decide to stick even 1/4 of it into gold we would see $600 gold in a hurry. Mish