Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: gregor_us who wrote (26984)	2/11/2010 1:53:42 PM
From: Zincman	Read Replies (1) \| Respond to of 71409

Is that you?

To: gregor_us who wrote (26984)	2/11/2010 2:18:26 PM
From: Real Man	1 Recommendation Read Replies (3) \| Respond to of 71409

Timing is always an issue. The sovereign debt crisis is just starting, it is now at the stage of Subprime mortgages in late 2006, maybe early 2007. First tick Dubai, tock Greece, tick Portugal, tock Spain, tick UK, etc., until it comes to the US. finance.yahoo.com^VIX,spy,dia,^dji,^gspc,xlf,euo&sec=topStories&pos=8&asset=&ccode=

To: gregor_us who wrote (26984)	2/11/2010 3:26:05 PM
From: Real Man	Read Replies (1) \| Respond to of 71409

Sovereign bonds are strange animals, but, most certainly, the precarious situation will result in a combination of default and print fest. I would think print fest is more likely in debt-overburdened single currency nations like UK or the US, although some austerity measures will also be adopted. Sovereign debt in the US simply can't handle higher rates without blowing up In other words, the path lies somewhere in between devaluation and default (or both! I think US entitlements, SS and Medicare will see "reform" that will amount to a partial default), and the action of the printing press must be followed very closely, although it may become even more obscure in the future than it is now.