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


To: KyrosL who wrote (90218)1/7/2008 12:53:49 PM
From: Archie Meeties  Read Replies (2) | Respond to of 110194
 
Right, and over 1/3 of the balance of payment deficit comes from energy imports, which is the feed-forward trade that has been working well over the past year.

Both trade imbalanced and public debt influence a currency.



To: KyrosL who wrote (90218)1/7/2008 5:29:29 PM
From: rich evans  Read Replies (2) | Respond to of 110194
 
According to the economists, National savings minus the budget deficit equals private investment minus the trade deficits. This is because the current account deficit must equal the capital account surplus. All those dollars from the trade deficit must come home eventually by someone. The trade deficit has been extant for decades and has helped keep us afloat by investment and wealth creation.
Rich