The US dollar is again hitting record lows against foreign currencies. At the moment it's about to hit $1.52 to the Euro. A few years ago it was more like .70 to the Euro. That means the US $ is worth HALF what it was just a few years ago! And the bottom is NOT IN SIGHT! As the BUSHIT administration continues to go further into debt to fund it's NEVER ENDING WARS, continues to BAIL OUT BANKS that are failing, the US dollar will continue its decline. And soon most Americans will receive tax rebates that will put the Budget even further into the RED (2 trillion is what G.W. Bush has added to the US debt in his time in office - tripling the national debt). The more money the US prints, the less it's worth. And of course with HOUSE prices falling 10% in the last year, wiping a couple of TRILLION off American property values, we are quickly becoming a POOR COUNTRY as other countries standard of living surpasses the US. And this trend is accelerating without precedent (except for the Great Depression!) Meanwhile China, the Oil States and Europe become even RICHER, and buy up American assets at firesale prices. If you can't add up the COST of those items yourself, I will do it for you... It means the US will soon be in a DESPERATE situation. And with BUSHIT still in power it means he will be desperate too. And with the Mideast situation deteriorating daily, a NEW WAR will be the only thing this president (and V.P.) can think of to distract the masses who will be on the verge of rebellion perhaps even BEFORE THE ELECTION. Get ready. Turn your cash into survival gear. You're gonna need it....
This is great news for big lenders who hold portfolios of mortgages backed up by residential properties with lower valuations. It is hoped that the inflation generated by the weaker dollar will eventually buoy up housing prices back up to the point where those investments are sound. It will help homeowners at the expense of salried workers who loose purchasing power. But the lenders are happy.
And the underside of the toliet seat will soon follow. Whatta view. I can't walk in the grocery store anymore without getting nervous . I'm having a 70's flashback and so is the economy. Batten down the hatches. x
And of course, the people responsible for this tsunami of grief is well insulated from the effects of it. Just as they've always been. Perhaps we should invite ourselves over someday? x
Right now Home mortgage interest rates are in a sweet spot, bout 5.75% fixed 30 Yr. O points. it IS helping the economy. When they realize that the loans will be paid back in vastly depreciated dollars those rates are bound to rise, further choking back housing. future rates are anybodys guess.
I think you will see an increase in US dollar after the election this November. Typically there is a stabilization and shift after an election.
I highly doubt that. I don't see what the election would have to do with it. The dollar is pretty much on a collision course, and there is no stopping the path it's on. As the FED continues to cut interest rates and add liquidity to the markets, (in order to keep the economy from crashing), the dollar will sink lower and lower, until it's no longer a world reserve currency. We already have people like Alan Greenspan urging the Middle Eastern countries to drop the dollar. Some of the top economists are now admitting we are in store for what some have called an "economic armageddon."
Elections do affect the economic stability and direction of the economy. There is usually a rise in the dollar after an election, or depending on the race before an election, their is historically a decline in the dollar. It has to do with investments in respect to a particular political platform. Most people invest their money based on the politics of a specific country and put their money where they can predict it will be able to grow. Think about it: You don't invest your money right before an election. It's too unstable and risky to guess at who is going to lead and shape the economy. It's one of the many mysteries of economics.
The GCC, Gulf Cooperation Council "Bahrain,Qatar,Kuwait,Oman,Saudi Arabia,UAE" have wanted their own currency since 1981 They "GCC" have plans to have a common currency by 2010 the "Khaleeji" Duetsche Bank predicts Qatar and UAE will cut ties to the dollar sometime this year. currently the Euro is worth $1.54
Ain't globalization great? What will be different this time around unlike during the Great Depression, is we no longer manufacture or produce many consumer goods. We will have to pay the going rate, and jobs...what jobs? That is what comes of a country lead by an administration that in time of crisis tells it's population the most important thing they can do to help is spend on imported goods. It was the Trade Towers that were destroyed, should have been seen as a warning shot.
The other difference between this period and the Great Depression is that Americans have NO SAVINGS! Back then people saved their money. Now ppl have 401Ks which are losing value daily. It's not cash in hand and when the time comes that EVERYONE needs to cash them in, there won't be much left to take out! The banks are propping up the stock market by taking the Fed's auction money and buying stocks. They're NOT lending it out as they say. And then that money needs to be repaid in 30 days or so, which means they must either SELL their stock (which keeps losing value), or buy more after the next auction, which is what they're doing. This is an endless cycle of the US Treasury throwing money down a black hole! Print NEW money (devaluing the $ we all have), hand to the banks at nearly no interest, watch them buy stocks to keep the market from tanking, watch the stocks tank anyway, then those HUNDREDS OF BILLIONS will never get paid back and the net result is our $$$ goes further down the tubes faster than you can say "Greater Depression"...
Well the Bush family is well versed in taking advantage of investors. They didn't have to own up to any responsibility for the Savings and Loan crisis, why should this be any different. I always found it ironic that GW wanted us to privately invest our Social Security accounts. Social Security was all many of those S&L investors had to rely on after the great collapse.
Yup, the deal is the rich want to make more money thru stocks, so if the SS system invested in the markets you'd get yet another bubble. In fact the whole 401K system has propped up the market for more than a decade now. Don't worry ppl, I'm sure our fearless leaders will invent yet ANOTHER bubble to steal away naive investors money. At this point I'm starting to doubt whether the US stock markets have much American investment as before. My guess is we're quickly approaching the point where the majority of American stocks are owned by foreigners. So if we don't own the stock market, we don't own our homes (Americans now owe more money on real estate than the equity value), we don't make our own products, we import everything we consume, WHERE IS THIS GREAT AMERICAN WEALTH??? Choose your Answer: 1) STOLEN? 2) Never really existed? 3) It's all just paper? 4) All of the above? So much for America being the greatest country in the world. All America can still claim is that it's the BIGGEST BULLY in the world. That's it. No other claims to fame anymore...
I'm wondering if it would be fun to search out some old threads in the Politics & AA forums to see how well out predictions back then panned out. Should prove interesting. Esp. to read all the conservative BS that got posted back then telling us how GREAT America is and how wonderful the war in Iraq was going! How strong the economy is, how strong the dollar is, etc...
Probably All of the above, but I would put emphasis on #1. And they did it in back rooms smiling at the gullibility of the US public. Much as they are doing with the SPP.
I was warning people about this back in 2003-2004, and was told that I was crazy and that it would never happen. Then again, I see this as being part of a long-term plan. Most people don't. They think the people at the wheel (not George Bush) are stupid. This is exactly what the Rockefellers and Rothschilds want, because now they can consolidate even more control into their hands. Money is nothing to the ones who print it, other than a means of controlling people.
The checks the government is going to send to the american people to "stimulate the economy" will go to the oil companies to pay for 4 buck a gallon gas and to China for more plastic bullshit.The bastards have sold us down the river for sure.
It's a classic game of chess. Looks like the king got nowhere to go. The king or rather the emperor, doesn't even have his clothes on...
