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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: stsimon who wrote (16444)	1/19/2009 12:52:31 PM
From: Tommaso	2 Recommendations Respond to of 71456

>>>If you really expect the end of the world you'd be better off with a stockpile of food, water, ammunition, and medicine rather than gold.<<, If you really expect the end of the world what you want is a supply of transdermal morphine patches. I don't expect the end of the world. I just expect that paper money of all kinds, but especially the dollar, will be worth a lot less. Gold is the most compact hedge against currency depreciation. The situation is now much worse than the one Volcker was able to fix. But inflation never completely stopped, even under Volcker. The dollar never regained its lost value. It just declined at a lower rate.

To: stsimon who wrote (16444)	1/19/2009 3:59:54 PM
From: Paxb2u	Respond to of 71456

st---I got all that you mentioned---Peaceb2u

To: stsimon who wrote (16444)	1/19/2009 7:23:14 PM
From: Sober	Read Replies (1) \| Respond to of 71456

Your response was appreciated... especially your belief that, as you said in point 2... 2) The Fed will drain liquidity when inflation returns. How will the Fed do that? What steps do they take to pull liquidity back out of the system. What would I look for as a clue that they are doing that? Now that the M3 money supply number is no longer being published and probably other numbers that might be available are hard to trust, what are the key indicators to know how much liquidity is in the system at any particular time. I do not expect the end of the world. I do expect further weakness in the US economy and I am looking for any convincing arguments that the dollar will not be weaker as well. Sober