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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Bearcatbob who wrote (146408)	3/6/2011 7:50:41 PM
From: ChanceIs	Respond to of 206203

>>>It is interesting to see the Euro rally.<<< No mystery there - see below from Friday. The Euros are acting as if they understand economics, the implications and the duty to act as adults. The real mystery is why Bernanke has lasted as long as he has. My wife and I would like to go to Italy for our anniversary. I would like to see a stronger dollar to defray costs. But if not, the gains on my Treasury shorts and crude longs will more than compensate. I have been pounded on my Treasury shorts for a long, long time. It is nice to get into the black. _____________________________ ECB prepares rate rise as global tide turns The European Central Bank has surprised markets by signalling a rate rise as soon as next month, brushing aside warnings that this may compound damage from the oil shock and push EMU debtor states deeper into crisis. By Ambrose Evans-Pritchard, International Business Editor 6:00AM GMT 04 Mar 2011 telegraph.co.uk

To: Bearcatbob who wrote (146408)	3/7/2011 12:18:42 AM
From: teevee	Respond to of 206203

Even though the US economy is now only about 15-17% of global gdp, the US dollar still accounts for about 85% of all currency transactions. It won't be easy to displace the US dollar as world currency, as there isn't yet enough of the other major currencies around to replace it. I expect the percentages to continue to change as other growing economies print more of their own money to match their economic and population growth. Also, more and more people in BRIC countries want higher standards of living and that can only continue to keep the pressure on energy, metals and soft commodities. In the past, when the US economy weakened, so to did all commodities. Now, for the first time, commodity demand from emerging economies is pushing commodity prices in spite of soft US demand. Higher commodity prices will eventually make their way through to consumers and it is happening now. This inflation will reduce disposable incomes leading to pressure on wages and benefits. Bernanke will try again to pull the rug out from underneath commodities, but this time, with strong growth elsewhere, it will only create a short term buying opportunity. Whatever happens, it will be interesting to see how creative Bernanke can get:-)