Kunst

Is the U.S. Dollar Headed for a Mighty Crash? Part I

Anybody else think that spending a trillion (current) dollars a year for the last six decades might have something to do with our debt problem?


On May 21 08:02 PM nmelendez wrote:

> BTW since the world has evolved to the same level as the US, where's
> other countries stealth technology? i mean China's stealth bomber/fighter.

6 Golden Investments for a Commodities Bounce

Actually, 7% a year doubles in 10 years. Divide 70 by years or percent to get the other.

6 Golden Investments for a Commodities Bounce

When I was a kid, the population of the world was 3 billion (US: 150 million). Today it is 6.5 billion (US: 300 million). World population is projected to peak at 9-10 billion (US: ?). We are already overloading the world's resources. For example, fish catches are down over 90% in many of the most (formerly) productive areas. Everyone just assumes we can keep plundering the earth at an ever greater rate. I think we will find, the hard way, that this is not true.

How the U.S. Financial Crisis Resembles Japan’s 'Lost Decade' - And How to Play It, Part II

beans: "I see so many dire predictions lately that it leads me to believe many people actually want these horrible things to happen"

When you tell a friend that out-of-control spending is going to wreck his life, does that mean you want it to happen?

How the U.S. Financial Crisis Resembles Japan’s 'Lost Decade' - And How to Play It, Part II

investor2: "Last time I checked the US was still the leader in Tech."

Keep a careful eye on that. We have outsourced our manufacturing, at increasingly higher levels (e.g., design). Along with that goes a lot of technology. Add our educational crisis (more than half of US engineering/computer science graduate students are foreign nationals) and the blithe assumption that we will always be the tech leader is very risky.

secmaven: "There is only one way the massive debt of the US government can be liquidated....inflate it away by creating a worthless dollar."

Sad but true. If we were ever going to really pay off this debt, we would never have let it get so large. We are like the person who knows bankruptcy looms and figures why not party until the hammer comes down.

Norevand: Such fatuous nonsense is amazing. Do you really think the $1 trillion we spend annually on "defense" is a good investment? A lot of the world thinks the US makes the world "a more dangerous and unstable place."

"The world can't afford to allow the U.S. to fail." We'll see about that. Maybe the world is getting tired of propping up the U.S.

Is the Gold Rally Really Over?

The dollar is going to fall, fall, fall....
Inflation will go up, up, up....
Gold will go up, up, up....
That's life in the rear-view mirror.

Look for the USD to strengthen, price inflation to remain constrained, and commodities, including gold and oil, to retreat. At least for now.

Heresy? OK. All the more reason.

Why? We are in a consumer-spending, credit-correcting, unemployment-fearing recession that will get worse before it gets better. Much of the commodities run-up is speculative and will get unwound when it is convenient to the big boys. Don't get run over in the stampede.

Last but not least, central banks have good reason to put the brakes on the collapsing dollar. Want to bet they can't do it -- for now?