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

To: Tommaso who wrote (25229)	12/4/2009 5:36:33 PM
From: Real Man	1 Recommendation Read Replies (1) \| Respond to of 71456

It's fine, I got banned by Mish, of course. Who on this thread didn't? -g-. General chaos these days. The outcome of the collapse of a major credit bubble (+ enormous Ponzi finance in derivatives), followed by a major government bailout and printing is hard to comprehend, except for the statement that it should not work this time, the old ways that got us into this mess can't get us out. What is even more disturbing for the inflation/deflation fight (why fight anyhow?) is that since the derivative bubble was fixed and patched by liquidity similar to "Greenspan/Bernanke put" LTCM fix, and the Fed "fix" appears to be working as usual, with derivative market growing in size! In fact, 2009 was one enormous Bernanke put. It required a lot more liquidity, and quite a bit of money printing. -g- So, the bulls are laughing at the bears again. We know of course that was not a good long term fix. But, for now the bears remain in a waiting mode, while watching the dollar slide, in part because of being #1 carry trade borrowing currency. It is rather clear how this ends, with the government funding crisis, which is the topic of this thread. The mess that blew up was essentially transferred onto the government's balance sheet. However, timing is unclear, and the way it will happen is also unclear.