KIT

Still the 'Most Hated Rally in History'

Mark to Fantasy allowed a return to Price chasing Price. Support the price at all costs damn the fundamentals. Reality has been put to the side for now.

If a tree falls in the forest and the market has its fingers in its ears does it make a sound?

Return of the Bond Market Vigilantes?

The exchange rate has dropped from 1.30 to 1.09 inside 2 months
As Canadian dollar aproaches par business in Canada shuts down orders for Canadian products just stop. We can't lower rates to stimulate so we too will damage our own currency with easing. There is no gain in jumping to commodities dollars if those dollars are about to be devalued with yours and I would say more than yours so we can tuck under the USD and give US business a reason to buy our stuff ( as is our history )


On May 31 09:57 AM erniem wrote:

> Of course the debt issuance is incredibly inflationary. The only
> place I disagree on is the amount. Real inflation over the last ten
> years has probably been closer to 10% than the laughable 1-3% the
> government admits. The reason for that is simple. There is NO WAY
> the US Government will admit to double digit inflation. It would
> push Social Security spending into the stratosphere instantly, as
> payment rose at year end accordingly. Social Security has an inflation
> index.
>
> And as far as the dollar! The canadian dollar has risen over TEN
> PERCENT against the US dollar in a few MONTHS.

Long Term Treasury Yields Likely to Rise, Pressuring Dollar Lower

>stocks keep going up, down goes the safe havens like the dollar. >That,s the way it,s gonna be.

30% drop in USD and your BULL run is a buying power bust.
Take your profits and short the market and ride the USD risk rocket.

On that oint this BULL run is PAPER PROFIT unless you sell
Once you do the shorts take over