From the CNBC stock blog:
“I don’t know when [the dollar] is going to strengthen,” Peter Schiff, president of Euro Pacific Capital told CNBC. “The dollar isn’t the new yen, it’s unfortunately the new peso.”
The fact that the Federal Reserve is printing dollars to buy U.S. Treasury bills means there can be no other outcome than the collapse of the value of the U.S. dollar.
As CNBC quotes Schiff:
Schiff said the Federal Reserve will soon run into the dilemma of either having to supply the carry traders with an endless amount of cheap dollars or put a halt to the carry trade and aggressively raise interest rates, which will “bring on a much more severe recession than anything we’ve experienced so far.”
Meanwhile, Schiff said he owns the Australian and Canadian dollars as well as the Japanese yen.
“I own a lot of Japanese yen—I think it’s breaking out and the chart looks fantastic,” he said.
“I wouldn’t be looking at any pullbacks from these currencies. There’s a much better chance that the dollar drops through a trap door…I’ve been shorting the dollar for years. I do it because I own foreign currencies, precious metals, and foreign stocks.”
What do you think the dollar’s collapse will do to the Democrats chances in the U.S. House and Senate in 2010, or if the collapse happens prior to the consideration of cap and trade or ObamaCare, what will its collapse do to these bill’s chances?
No surprise
snowshooze Tuesday, September 29th at 5:46PM EDT (link)I suppose we might have to make our own cell phones, tires and televisions…
Of coarse we can’t build a toaster for under $80.00…
But with a little government cleanup, we might make it.
Can we rescind the bailout? Not without another war. I don’t believe so.
Hang on, we’re just getting started.
crossing fingers, knocking on wood, rubbing rabbits feet
suzieQ Tuesday, September 29th at 6:14PM EDT (link)Some say I’m wrong for wishing the failure of our economy - but if that is what it takes to get the dems out of power, then so be it!
“It’s finally happened: Abortion stopped a bleeding heart.”
- Ann Coulter, January 25, 2006
“My concern about the role of the federal government is that an intrusive government, a government that says, ‘Don’t worry, we will solve your problems’ is a government that tends to crowd compassion out of the marketplace, that too often in the past people said: ‘Somebody else will take care of the problem in my area. Don’t worry. The government is here.’”
- George W. Bush October 31, 2000
“Had the decision belonged to Senator Kerry, Saddam Hussein would still be in power today in Iraq. In fact, Saddam Hussein would almost certainly still be in control of Kuwait.”
- Dick Cheney
Be careful what you wish for
wennejunk Tuesday, September 29th at 8:33PM EDT (link)There’s no guarantee that such an event would turn out the way you expect.
A true collapse of the economy would be a crises too good to waste for this administration and Congress.
You would see - as have other countries and our own in times past - people suddenly agreeing to things they otherwise would not.
When folks can still make ends meet, even in a limited fashion, they tend to still keep their values.
When they are no longer able to feed their kids and themselves, they quickly become much less principled.
There are only two kinds of people in the end: those who say to God, ‘Thy will be done,’ and those to whom God says, in the end, ‘Thy will be done.’ -C. S. Lewis
This was probably the goal of certain people, I imagine. nt
Xasteius Tuesday, September 29th at 7:09PM EDT (link)Don’t leave the party, hijack it back!
Eternal vigilance is the price of freedom.
When I grow up, I don’t want to be Reagan. I want to be Art Chance.
~Aaron Gardner
It's Obama's and the Liberals goal
Scope Tuesday, September 29th at 7:28PM EDT (link)to bring America to it’s knees. They want a global currency, because they think that they will be the leaders in a globalist world. Both Barack and Michelle believe they have finally arrived. The world is their playground. They go everywhere and anywhere they want to on a whim, all on the taxpayer dollars. They have finally gotten to the pinnacle that they never thought they would get to, because they both believe that African Americans were never given that opportunity. They both still live in an angry country where African Americans had to stay in the background, even though they both have attained as much as their other race counterparts. The Presidency for Barack isn’t enough, and it sure isn’t enough for Michelle. They desire the conquering of the world. Maybe then both will feel “vindicated.”
Obama's goal is to
Dan Perrin Tuesday, September 29th at 10:01PM EDT (link)devolve the power of the U.S. and the economic superpower must go first
Schiff's track record is not all that admirable
wennejunk Tuesday, September 29th at 8:36PM EDT (link)His record of advice, if followed, helped destroy a lot of people’s wealth.
Not really sure his opinion deserves a spot on the front page.
There are only two kinds of people in the end: those who say to God, ‘Thy will be done,’ and those to whom God says, in the end, ‘Thy will be done.’ -C. S. Lewis
Even a blind squirrel can find an acorn once
Dan Perrin Tuesday, September 29th at 10:02PM EDT (link)n/t
Wheelbarrow Dollars
GreyCloak Wednesday, September 30th at 4:44AM EDT (link)Our politicians won’t let the dollar deflate until after 2010 … after all, it’s an election year!
But the time is coming: a wheelbarrow of dollars may be needed to buy a loaf of bread.
Most television and even newsprint pundits were in diapers thirty years ago (as were some prominent RedStaters). But in 1980,
In response to this catastrophe, Jimmy Carter, “Glossing over his own record of rapidly rising spending and huge deficits, both of which contradicted his firm campaign pledges of 1976, he proclaimed his born-again fiscal faith: ‘The Federal Government must stop spending money we do not have and borrowing to make up the difference.’”
Fault lies all around: after the first Republican Senators elected in the revolution of 1994 won re-election in 2000, they abandoned six years of progress that ultimately balanced the budget (sort of) and doubled the national debt in eight years.
Obama and the Democrats allocated another $trillion dollars (increased the national debt by 10%) in only one month!
So … go to Home Depot … buy a wheelbarrow … help the economy … you’ll need it to buy groceries in a couple of years.
OH … and there may be ONE thing Jimmy Cart got right.
No
wennejunk Wednesday, September 30th at 8:45AM EDT (link)Even inflation at 50% would not require wheelbarrows.
Regardless, we are in a deflationary contraction and may be in one for a long time. Nearly all of the dollars being printed are going to the dark black holes in bank balance sheets, which are growing as fast or faster than the printing.
Money that is not moving cannot cause inflation.
The dollar may become devalued, but we are in a race with nearly every other country to do the same. The US dollar will probably remain the strongest currency for a long while
There are only two kinds of people in the end: those who say to God, ‘Thy will be done,’ and those to whom God says, in the end, ‘Thy will be done.’ -C. S. Lewis