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

To: stan_hughes who wrote (322)	7/11/2007 4:50:57 AM
From: Real Man	Read Replies (1) \| Respond to of 71423

I don't think the dollar index chart is all that important, but that's just IMHO, since most of the currency trading happens in individual currencies. I think the broad dollar index made new all-time lows, so the dollar crisis bomb is now ticking. We might just see a sentiment change soon. The fundamentals are very ugly. The new development is, of course, downgrades of all these mortgage-related bonds, and guess who holds them? Answer: Foreign central banks have been accumulating mostly those in recent years. They may not be willing to hold the mortgage-based securities, and that's a bad omen for the dollar. Currency crises are made of blowing up bonds held by foreigners.