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

To: TobagoJack who wrote (36880)	7/11/2008 8:03:45 PM
From: elmatador	Read Replies (1) \| Respond to of 219195

marveled at America's "zero risk" financial rating on Friday, raising some laughs as he wondered how ratings agencies could call the troubled U.S. economy perfectly safe. Message 24577175 Lula had already had a go at it...

To: TobagoJack who wrote (36880)	7/12/2008 7:03:08 AM
From: elmatador	Respond to of 219195

The USD and the FED are creations to deal with the long term. They were meant to scarcity and to slow motion world economy. Once scarcity was dealt away with, there was more capital in other owners' hands beyond their control. Here you have a case of: I own the reserve currency, but a lot of it is in the hands of other owners out there. US have the responsibility of a reserve currency owner, but not the power to act upon it. The owners of those piles of dollars, they allocate that USD as they see fit. Move in out of markets as you change your underwear. That's not a way a road, harbour, airports, bridges and canals are built or oil is drilled. Money moving in and out as the fashion du jour changes cannot create anything resembling stability. Thus the imbalances you are seeing. Central Bankers are now in the business to plugging gaps here and there still clinging to the past idea of what capital flows are about. Therefore today is much better to own resources than money. Money can skip from sector to sector. Resources only are moved to where it is required and at the price the market dictates. Thus resources are the NEW MONEY. Hoard resources. Not money. The country that discovers that and act upon it will come out on top. The country that moves resources gets richer. The country that moves money gets poorer.