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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (32073)	9/18/2008 5:28:51 PM
From: Don Earl	2 Recommendations Read Replies (1) \| Respond to of 78670

Is the USD under valued at current levels? Or are further corrections needed to make it a bargain? In the past month, over one trillion dollars in fiat money has injected as air to keep the bubble inflated. The most conservative estimate I can come up with is it will take at least another two trillion fiat dollars in the next year if the strategy stays in place, and the bubble will inevitably burst regardless. As one observation I saw, rather eloquently put it, "We've privatized profits and socialized losses.". American citizens are on the hook for trillions in investment losses and we will pay for those losses in the form of a dollar that is worth far less than it is today. I'd be interested in seeing other views, but I don't think the USD is a good value at current levels. As a side note, I see AIG has been replaced in the DOW with Kraft foods. A rather grim omen if it's based on the idea things are going to get bad enough that stocking up on food makes sense.