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


To: GST who wrote (65503)7/7/2006 11:51:44 AM
From: John Vosilla  Read Replies (1) | Respond to of 110194
 
I don't think anyone expects the 50% drop in a year or two. Perhaps a long drawn out process over a decade?



To: GST who wrote (65503)7/7/2006 12:08:35 PM
From: mishedlo  Read Replies (1) | Respond to of 110194
 
A rising Canadian dollar does not direct affect me.
Did the price of a car go up in the US by 40% as a result?
Not everyone can plow into those currencies. They just can not take the volume.

When it is tried you see stuff like Iceland blowing up.

What the OZ$ does vs the US$ is pretty much irrelevant as well.

But to expect another 40-50% move in the C$ or the OZ$ is expecting too much. But assume it does, how does that affect me in the slightest?

If the YEN or the RMB were to move that much, yes we are talking about a serious issue. But for reasons I have outlined earlier I think the RMB would crash if they floated it. I have a hard time getting excited by the Yen with 5% interest rate differentials.

Mish