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.

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

To: stan_hughes who wrote (942)	9/13/2007 10:24:42 AM
From: Real Man	Respond to of 71423

That could be, although I believe we are standing right on the trap door of the dollar crisis, and the floodgate is about to open as the US Fed loses all credibility. Yes, they sure care, but they are not behaving like a credible central bank, and did not behave like one in the past. Tough BB is a joke. They talk tough to hold the floodgate, but they act loose. They are the enablers. The market's eventual punishment is death to their paper, the dollar. I believe gold and Yen will move sharply higher when that happens, stocks and bonds will move much lower together, spreads will move much higher.

To: stan_hughes who wrote (942)	9/13/2007 1:34:57 PM
From: Real Man	Read Replies (1) \| Respond to of 71423

To: stan_hughes who wrote (942)	9/13/2007 1:36:59 PM
From: Real Man	Respond to of 71423

Yep. What started this? No coupon passes and TNX too high. It appears the fuel is there to power stocks to new highs, within the standard wash, rinse, repeat scheme - bringing down risk-free LT rate through sec. lending and other tempos. Spreads came down because risk free rate came down. All is good, the system is fixed for now. Low TNX is bullish, bonds are the fuel the market uses when it rallies. The Fed has the power to monetarize now until TNX gets high again. When we see TNX breaking out along with the dollar breaking down, no matter what the Fed is up to, then maybe we see the crash. This just has the all familiar look of wash, rinse, repeat, but of course I have no clue. -g- So... If the Fed does NOT cut, TNX might RALLY, causing a melt up in stocks. Just a thought. I don't feel too comfortable as a stock bear with TNX that low, even though the dollar is below 80.