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Politics : The Obama - Clinton Disaster -- Ignore unavailable to you. Want to Upgrade?

To: Wayners who wrote (10415)	4/3/2009 2:34:55 PM
From: GROUND ZERO™	Read Replies (1) \| Respond to of 103300

Most likely, the reason the USD hasn't collapsed yet is because as bad as our economy is (and has been), all other economies are even worse, so the USD is still the currency of choice... as the economy improves, which it is now doing slowly, the USD is likely to weaken somewhat, although maybe not that much because foreign investors will need to buy dollars in order to participate in our equity markets... also, as interest rates begin to tick higher, and they surely will move higher, that will put a floor under the dollar... rates will move higher because banks are now reluctant to loan money at low rates, this is despite the fact they now have some liquidity to lend because of the bailouts... the bond market has reached a 27 year cycle of lower rates, this means that we can expect interest rates to move significantly higher over the next few years as world economies improve... GZ