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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Cogito Ergo Sum who wrote (31335)	3/19/2008 4:20:55 AM
From: TobagoJack	Read Replies (3) \| Respond to of 218194

just in in-tray quote So what happens if Treasury has auction and nobody comes... except perhaps the Fed itself as a disguised buyer or buyers... possible? Is that what is being described below? Does not exactly sound like dollar bounce material. Hopefully the debt is all in dollars. God help us if debt had to be repaid in foreign currency. That might be what lies ahead... when US gets emergency loans that have to be paid back in currency it does not control... or worse, gold. Those days are not so long ago, when FDR sent a cruiser to South Africa (1939 - 1940) to pick up British Gold in return for armaments before lend lease, and before Pearl Harbor. Described in Churchill's war memoirs. Leaves you feeling a little naked... this is probably the future. telegraph.co.uk Foreign investors veto Fed rescue By Ambrose Evans-Pritchard, International Business Editor Last Updated: 12:11am GMT 19/03/2008 As feared, foreign bond holders have begun to exercise a collective vote of no confidence in the devaluation policies of the US government. The Federal Reserve faces a potential veto of its rescue measures. Contagion fears sweep across the Atlantic Dollar plunges as Fed steps up moves Read more of Ambrose Evans-Pritchard Desperate measures: Bernanke and the Federal Reserve need to keep on top of the crisis and continue to intervene if needed Asian, Mid East and European investors stood aside at last week's auction of 10-year US Treasury notes. "It was a disaster," said Ray Attrill from 4castweb. "We may be close to the point where the uglier consequences of benign neglect towards the currency are revealed." The share of foreign buyers ("indirect bidders") plummeted to 5.8pc, from an average 25pc over the last eight weeks. On the Richter Scale of unfolding dramas, this matches the death of Bear Stearns. Rightly or wrongly, a view has taken hold that Washington is cynically debasing the coinage, hoping to export its day of reckoning through beggar-thy-neighbour policies. It is not my view. I believe the forces of debt deflation now engulfing America - and soon half the world - are so powerful that nobody will be worrying about inflation a year hence. unquote