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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?


To: Lucretius who wrote (3530)2/18/1999 12:28:00 PM
From: IngotWeTrust  Read Replies (1) | Respond to of 81987
 
Hey, LT... LOOKIE what I found

To: Lucretius Taurus (3527 )
From: Ron Reece
Thursday, Feb 18 1999 11:05AM ET
Reply # of 3531

Great! You mention a trend but forget to explain WHY the dollar declined.

It declined INVERSE to the yen because of the degree of carry trades based on Yen
being funneled into dollar denominated issues, or the dollar itself.

When those carry trades broke the Yen rallied and the dollar suffered.

But you also failed to explain why the dollar rebounded so quickly and the Yen slid. The
dollar was artificially strenghthened by that cheap capital borrowed from the BOJ. It is
now at a equilibrium tha the Fed is trying to maintain through the printing of money.

Should they cease, the dollar will strengthen, the stock market bubble will expand based
upon that strength, and US goods will be priced out of the market. The dollar is being
artificially weakened in order to maintain global price stability in currency exchange.

Regards,

Ron

COMPARE THAT NOTE TO THIS ONE:

To: Dave B (15725 )
From: Don Green
Wednesday, Feb 17 1999 11:50PM ET
Reply # of 15775

>Supply and demand That is something I totally agree on.. But even more important is
overall market conditions.. That is what I trade on, not hype or vodoo, etc... P/E is
STILL very important to those who hold the keys to the kingdom..Liquidity is even
more important these days..and Rambus fails in both areas....

That is the main reason so many top investment houses have avoided Rambus in my
opinion. They CAN see the long-term potential for the stock, but they also see the
timeline...and at the present time they can not justify the P/E..

Time is on their side

regards
Don

Whadda ya think<grin>
I knew it was too good 2B true that Don Green wasn't writing umpty times a day on GPM thread in months...
Old pests just can't change their m.o. can they?



To: Lucretius who wrote (3530)2/18/1999 1:36:00 PM
From: Hawkmoon  Read Replies (1) | Respond to of 81987
 
supply exceeds demand, silly.

Then why is the dollar going up in value AT THE SAME TIME the Fed continues to inject liquidity??

The Fed is printing money to meet demand and prevent that demand from excessively valuing the dollar which would be have even greater effects on a balance of trade deficit.

At the same time weakening the dollar is preventing even more negative pressure on weak currencies trying to recover in S. Korea and Brazil. Weakening the dollar helps to lessen the capital flight from troubled economies.

Regards,

Ron