Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: philv who wrote (22744)	3/25/2005 5:26:29 AM
From: sea_urchin	Read Replies (1) \| Respond to of 81101

Phil > Perhaps a new cry to the world will soon be heard from the U.S. "Raise the interest rates." Wouldn't that be a switch! Perverse as I am, I cannot see that..... > The amazing dollar continues to amaze me and defy fundamentals .... what I do see is that the USD stops dropping (and rising) and that all currencies trade in a relatively constant range for a while, or attempt to. The currency volatility is a problem the "experts" haven't even mentioned. > It cannot help employment, trade balance or any business requiring credit. And can cause default and bankruptcies for the heavily indebted, which is just about everybody. I agree. Indeed, it's the perception of higher rates rather than their actual manifestation which we are dealing with at the moment. Providing, of course, that inflation doesn't run away which is the other side of the rotten penny. In this regard, I can mention that the CRB index appears to have "blown off" for a while. stockcharts.com[w,a]dalaynay[dj][pd200,2][ilb14!la12,26,9] > higher interest rates, especially when they result from inflation rather than growth, will likely be the straw that breaks the back of the over-leveraged American economy That is what everyone fears and it will be interesting to see how the US comes out of the financial corner it has painted itself into, if it even can? > those holding its IOU's will finally come to their senses. Realizing that the burden will ultimate proof too great, they will attempt to sell. Unfortunately, this realization will likely come too late, as few will be willing to take the other side of the trade. That is a possibility, no-one can deny it. No doubt -- whether higher rates, inflation, deflation, unemployment, insolvencies, bankruptcies, plunging currency, default on debt etc -- there are many rocks and whirlpools facing those who attempt to steer the US economy through these troubled waters. Meanwhile, whatever happens, the money printing, the lies and the deception will go on unabated.