Dragon Master

Geithner's 'Deeply' Held Belief in the Dollar

Wen Timmy opens his a$$ about his belief of strong $, just as if a hooker tries to convince public she is virgin. That is what US left for everyone outside believes.

What's Behind the Dollar's Decline?

I can not believe these so called economists still trying to do all of analysis of dollar fall.

When a country is bankrupted and keeps printing worthless paper money to fund its deficits and spending, its paper money falls. You don't need any education to know that.

Is Currency Intervention Possible - Or Worth It?

There is common illusion in USA, among most including USA policy makers and FED, that is deflated USD will help export and lower trade deficit. But reality goes other way around.

There are 3 manufaturing countries, also as largest export countries, German, China and Japan.

Since 1980s JPY appreciated from 260 to 80 to 110 per dollar but its trading plus with USD grew every year.

Since EURO appreciated from 0.82 to 1.5 per dollar, German export esp to USA gets increased every year.

Chinese RMB has appreciated from 8.25 to 7.1 for a year+ but trading plus with USA goes up, not decrease.

USA will have bigger trading deficit when USD down since it has lost manufacturing power on one way ticket while import price goes up in term of USD.

5 Reasons Why the U.S. Dollar Will Weaken Further

Most people in USA look at the USD limited in USA. Don't forget:
1) Outside USA, most major eco doing well and not necessary counting on USA consumers as solely export sources. Everyone easily to lean how to spend money when they have.
2) There is more 4 trillion USD held by foreighers. Once USD down the hell, they are dump or they will dump every uptrend. Why not.
3) Nobody will give real assets/resources to USA in exchange of paper. US/Fed prints paper money at 15% rate every year and no reasons stop.
4) USA lost manufacturing with no return. By 2038-2050, USA will have 50% population of black and Hispanics. That can not complete against Japan, German and China. Or you are live in the dream world.