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


To: Robin Plunder who wrote (38011)8/7/2008 7:18:33 PM
From: arun gera  Respond to of 217588
 
<The big vase that hogged all the water and let the others dry, is trying to keep its water level as much as possible, by pumping water into its vase (printing USD money) to avoid the inevitable. That makes more and more water flow into the low level vases (a.k.a. emerging markets).>

The real value of goods or true buying power(the nutrient in the water being pumped) is not going up so much. So yes, water is being pumped into the emerging economies, but it is a more dilute stream. The dams and locks being operated by Wall Street and other exchanges, just divert this diluted stream into all other markets (and to their pockets),in the process diluting the value of all other paper or electronic instruments. Of course, Wall Street and governments take their cut based on the volume (and not the true buying power or the dissolved salt), so they get a higher percentage of the true buying power temporarily, until all vendors of wall street and government discover that they are feeling less healthy as they are not getting their nutrients.

-Arun



To: Robin Plunder who wrote (38011)8/8/2008 11:06:37 AM
From: elmatador  Read Replies (2) | Respond to of 217588
 
US message was: move out of the USD you suffer! Chinese didn't want the task. Europe? It is in a faster downride path than the US.

The Russians? Need at least a decade to arm twist rivals to adhere to a regional currency.

GCC? You're joking right? They need the hired gun US. The Israelis needs the umbrella (not to mention the being the biggest aid recipient of the US doesn't want donor to be with empty pockets).

It seems that a consensus have been reached to come out with a action among friends to keep the system as is. This has the result to remnove the pressure on Brazil to do heavy lifting.
That's is excellent news! (If sustainable is another story) We can be free to pursue 5% GDP growth without much problems.

If we can keep that situation for some 24 months -while bottlenecks are cleared even better!!!