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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: stan_hughes who wrote (265)	6/28/2007 8:52:14 AM
From: Real Man	Read Replies (1) \| Respond to of 71445

Dollar is moving down again though. The Fed games are about to get "done", by that market anyway. How long will the FCBs be willing to buy blowing up CDOs and agency bonds with declining dollar? Will they be willing to hold them as they blow up? Not going to be fun when that happens, early June was just a tiny scare - FCBs sold a little for just 1 week -g- M3 is showing 14% growth, so the Fed intends to "inflate away" until the cows - err - dollars - come home. We will see soon. The Fed is due to print in July, or else liquidity will evaporate and the stock market will crash. We'll have to see if the dollar breaks 80 then, and what happens to US stocks and bonds, i.e., if that printing will cause the usual mega-rally. Meanwhile, China is crashing, a bit. Tough to rate these mortgage bonds AAA when there are so many defaults.