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

To: westpacific who wrote (31795)	11/8/2010 8:57:06 AM
From: John	Respond to of 71412

Duplicate deleted. EOM.

To: westpacific who wrote (31795)	11/8/2010 8:57:07 AM
From: John	7 Recommendations Read Replies (2) \| Respond to of 71412

If nothing happens, the whole thing was a waste of time. Something has already happened as a result of all versions of QE, my friend. Their efforts have served to artificially inflate and insulate the U.S. equity markets from a very major collapse, while at the same time greatly devaluing the clownbuck. End result: Investment bankers protected. Taxpayers screwed.

To: westpacific who wrote (31795)	11/8/2010 10:30:59 AM
From: Real Man	Read Replies (1) \| Respond to of 71412

"it only takes a 2% drop in the average value of assets on the Fed’s balance sheet for the Fed to go bankrupt" Huh? Fed? Bankrupt? What is that dude smoking? I want some.

To: westpacific who wrote (31795)	11/8/2010 3:08:51 PM
From: Paxb2u	Respond to of 71412

I really don't understand the following, Right now the Fed’s balance sheet shows about $57 billion in total capital. Current assets are about $2.3 trillion. The current money-printing plan will take total assets above $3 trillion. At that level, it only takes a 2% decline in asset values to wipe out the Fed’s capital. Put differently, it only takes a 2% drop in the average value of assets on the Fed’s balance sheet for the Fed to go bankrupt. And this is in an environment where various markets frequently go up and down 3% in a single day. Balance sheets are normally made up of assets and liabilities which given there is no business here, doesn't have to include Retained Earnings from income. (Although there could be because of what the FED has been doing lately)How does the FED go bankrupt when they can just print more $s which increases their assets to replace the lost value of whatever assets they are holding? This is a serious question-not trying to be argumentative. IMHO they can't go bankrupt unless other countries begin to refuse the $ and demand something like gold for payment.