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

To: ggersh who wrote (57206)	3/17/2015 6:34:21 PM
From: Real Man	Respond to of 71475

lol, nice video

To: ggersh who wrote (57206)	3/22/2015 3:59:29 PM
From: John	2 Recommendations Recommended By ggersh roguedolphin Read Replies (1) \| Respond to of 71475

While I am neither bull nor bear (my trading methodology for my small business is purely model-driven), I cannot help but observe that the continued rise in U.S. major stock indices (e.g., MID, RUT, DJI, SPX and NDX) is nothing short of astounding and inexplicable. Clearly, the equity markets, which are always right, do not believe the rising interest rate threat from the Federal Reserve. The continued rise in U.S. equities this past week came in the face of the following facts: -- the US dollar has gained more than 22% in the past 12 months against a basket of major currencies [1] -- the price of oil has crashed over the last quarter, and OPEC is continuing to pump -- there is so much unused oil, that there is reportedly very limited space to store the massive glut -- signs of deflation are everywhere and increasing -- the recent earnings recession has been exacerbated by the surging dollar and analysts are widely forecasting much additional weakness in relative earnings ahead [1] -- the Federal Reserve Bank lowered its expectations for the economic growth and inflation in the United States over the next two years [1] Traditionally, these are all bearish signs, particularly when considered as a whole. Despite all of this, the Federal Reserve is still maintaining and furthering the illusion of a pending rise in interest rates. The markets obviously do not believe the threat based on the surge in equities last week. Instead of rising interest rates, Durden suggests that a "trial balloon" of more QE is in the immediate offing [2], which could result in the collapse of the yen (or another diluted currency) and the end of serial money printing as we know it. We shall see. I think he is underestimating the control of TBTB, but we shall see. We've seen incredible times for a long time now, and the bizarreness only increases quarter after quarter. So, what will be the next big thing to hit U.S. equities? Will it be a scenario like Durden suggests, or, a U.S. bank or two finding itself on the wrong side of a clownbuck trade, investment and/or risky loans before becoming the next Lehman Brothers and Bear Stearns? Interesting and scary times! 1. thesilverink.com 2. zerohedge.com