huangjin

The Future of Gold, Silver and Commodities in the Coming Recession

A similar scenario was bandied about in the early 1980's, then the early 1990's, then the early 2000's. The fact is that the US dollar is better managed than most other currencies, and while the Euro could give it competition they cannot stomach a decline in the dollar without having manufacturing leave Europe for the U.S., causing 15-20% unemployment on the continent. Japan, Europe, China, and India all have higher levels of government debt, so they have an even greater incentive to debase their currency. China is massively debasing the yuan to keep the banking system afloat and to cover the massive amounts of local government spending, which is not tied to any kind of economic analysis other than building stuff makes jobs and GDP go up. Depending on how wrong the peg was set at, it could still appreciate, but the real yuan is declining against the dollar.

Crystallex Affair Requires SEC Investigation

Too bad Tradesports doesn't have a contract for Hugo Chavez nationalizing the mining industry. Then people could put their money where their mouth is.