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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: tyc:> who wrote (53653)	12/2/2007 12:34:04 PM
From: maxncompany	Respond to of 78432

It's an interesting game going on. The US is trying that balancing act of weakening their own currency while maintaining status of the world's reserve currency.

To: tyc:> who wrote (53653)	12/2/2007 9:37:06 PM
From: LLCF	Read Replies (3) \| Respond to of 78432

<The "rest of the world" (the bankers) wants the US$ to be higher than it is (i.e. in terms of "their" currencies). Conversely, they want their own currencies to be weaker in terms of the US dollar.> <Do you agree ?> Of course I agree...but so what? That is exactly the same as saying "do you agree that all the bankers want Joe Sixpacks IOU's to move higher in value". That's litterally what it is... should we continue to buy more in hopes of a future payback. Even if there is infinite patience, one can only hope for a marginal rally as CB's sell each rally to at least unload what the bought on the latest sharp sell off. The only "bullish" part about the whole nasty scenario (which is probably the only reason all this didn't happen before) is what Trump and the banksters figured out decades ago applies here... if you owe a little bit, the bank owns you.. if you owe HUGE, you own the bank. Well, the reason the dollar isn't worthless in international markets is that the US owns the CB's. Sadly, we're treating them like absolute crap... if this keeps unfolding the way it looks it will ultimately be a LONG TIME before anyone holds US dollars again. <Conversely, they want their own currencies to be weaker in terms of the US dollar.> Sure as far as trade goes... so they'll print their own money to some extent. But you have to remember that it's not a linear world. On top of the propensity of the worlds CB's to have loose monetary policy you have Trillions of US dollars sitting in reserve losing value daily AND the market telling them they must buy even more to hold it up. This isn't new of course, it's been going on for decades (sucessfully if you want to look at it that way). There has NEVER been a reduction in foreign CB's holdings... so the question is the will to piss away money to make things look good. From what I can see in the news over the last couple years, foreign CB's are jawboning bullish about the dollar while they scheme to get rid of it. Good luck. ~tilt!~ Forget about owning the dollar over the next decade IMHO. DAK