101010

The Dollar Holiday Blues

[Comment edited for abusive language. Commenter put on notice]

Speaking of Europe and your statement that oil @ $131 will affect them as much or more than us, I respectfully differ. Since oil is priced in dollars, and the dollar has been collapsing in a rather healthy manner almost in lock-step with the rising price of oil, a barrel of oil costs only 83 Euros. Moreover, European countries have huge fuel taxes... and it's far easier for them to lower taxes slightly to maintain their economies than it is for the US to print and loan, print and loan fresh new dollars at 2%, as the more dollars Uncle Ben has printed, the weaker our dollar gets and conversely the higher the price of crude goes. It's a vicious cycle, but mainly for holders of the once and nevermore mightly US dollar.

And while that may be open to some debate, I think it simply cannot be argued that you need to use a different mugshot... and I don't mean the one they took from the side. :)

Full disclosure: Long and heavy on FXA (better interest than FXE).