George Kesarios'  Instablog

George Kesarios
Send Message
have been a professional investor for over 20 years and during the past several years an economics analyst and financial writer for, the biggest economic news portal in Greece. For the most part I only look at stocks that have the possibility to double over a twelve month period and... More
My company:
Acropol Publications LLC
My blog:
  • Way too much dollar negativity makes me want to buy dollars 0 comments
    May 24, 2009 12:21 AM


    With all the money printing by the Fed and with the $300 billion monetization process in play, it’s only natural that the dollar has slid lower against the Euro.

    But does anyone realize that the asset purchases needed by the ECB will be more than what we are now witnessing by the FED?

    The German banking system is 100% broke, Ireland is near broke, Spain is on the way and not to mention Greece.

    I don’t know when, but mark my word, the ECB will be buying (or financing might be a better word) the national debt of Greece and many other countries by this time next year – and these purchases will not be sterilized!

    On a purchasing power basis, the dollar is still cheap, although fund flows at the moment (due to FED money printing) are not in favor of the dollar.

    Be ready to go long EURUSD when the FED finishes its $300 billion treasury purchases program. The way I see it, the trend will reverse when the ECB starts doing the same thing.

    By the way, the announcement by the ECB that it will purchase €60 billion in covered bonds is only the down payment of a down payment.


Back To George Kesarios' Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.