InnocentsAbroad

Steep Treasury Curve: Time to Tighten

Perhaps changing the term to "recovery in the value of industrial equity" would be more accurate. IMHO, small capitalization and technology equities are going to be relatively strong, perhaps very strong.

On May 27 10:52 AM xxxx wrote:

> Please define recovery. I do not consider a recovery something that
> eats away my savings every day while the banks get money for free.
> In fact this policy by far hurts the majority of american's and makes
> their lives worse

Foreign Debt Holders and U.S. National Debt

It seems to me that the question should be not how much debt is held abroad, but whether this ultimately forces higher interest rates combined with expansion of the money supply.

It was the latter that seems to be the culprit in the drop in value of the dollar, but I'm wondering now if US financial system structural problems aren't likely to continue to drive peril to the non-US financial systems.

We might make a reasonable assumption that both will occur -- continued money supply expansion, coupled with a continued crumbling regulatory system. That would in term imply continued instability. So, how long will the dollar be a currency of flight to rather than flight from ?