bearfund

Forget About a V-Shaped Recovery. Maybe a W. Or L. And What About $?

There is no way that the ban on shorting triggered a squeeze. It did not require covering existing positions, only that net short positions not be opened or grown. Surely the $500b gift that TARP brings is the compelling aspect of the plan. The markets are only beginning to understand the ramifications of this plan. Your assessment of the impact on the dollar seems reasonable to me and I would summarize it for those of us whose functional currency is gold by saying "The dollar is going over a cliff; short it now if you haven't already. Other paper may follow at slightly lower speed."