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

To: maceng2 who wrote (22016)	8/13/2009 7:38:17 AM
From: zamboz	Respond to of 71456

Great chart. And it works on my blackberry.

To: maceng2 who wrote (22016)	8/13/2009 2:24:20 PM
From: NOW	Read Replies (1) \| Respond to of 71456

cant see the time axis: how many years is that?

To: maceng2 who wrote (22016)	8/13/2009 9:25:57 PM
From: Real Man	Respond to of 71456

Note that USD/Yen chart now has the opposite meaning, since the Fed is easier than BOJ, and both are Zirp currencies. Thus, soaring Yen no longer indicates carry trade stress. USD inow overtook the Yen as #1 carry trade funding currency, which is precisely what makes USD fall. It also explains why, unlike in 2001, falling dollar is bullish for the markets. As Oz is soaring back up very quickly, carry trade looks all right, and the yen moving higher no longer signals systemic stress. In fact, I would strongly argue there are currently no signs of systemic stress in derivative markets whatsoever. CB-s sure injected a lot, but that made liquidity come back, for now. The problem is, by drowning derivative markets in liquidity, the Fed applied their usual fix, one that makes the largest Ponzi scheme in the history of the planet grow notional value.