Use access key #2 to skip to page content.

goldminingXpert (29.67)

Euro crashing again tonight

Recs

10

October 22, 2008 – Comments (6)

Time to throw in the towel goldbugs. The dollar rally continues unabated. The dollar index broke the downtrend at 73, it broke the "firewall" at 75, and now it has blasted through the strong resistance at 80. The dollar is heading up up and away... my screen shows the Euro down another three full cents tonight to 1.277ish. Gold trades inverse to the dollar, and the dollar's monumental rally continues to increase in speed and power. Poor defenseless currencies such as the "Loonie" and "Kiwi" were seen running home to momma for a good hug and cry after losing 30% of their value in mere weeks versus the King of Dollars, the U$D! Time to throw in the towel gold bugs, the dollar train is not worth jumping in front of... don't commit investing suicide standing in this train wreck.

6 Comments – Post Your Own

#1) On October 22, 2008 at 9:06 AM, lquadland10 (< 20) wrote:

What? This is the best time for me to cost average down with my king dollar that is made out of thin air. Besides the rest of the world is just waiting to dump the dollar. Ares blog with rogers and shift.

Report this comment
#2) On October 22, 2008 at 11:07 AM, ButtSauce (96.16) wrote:

goldminingXpert, I have a question about the U.S. dollar. I think we've actually reached a point history where it could actually fail, however remote. I know it is recovering right now but I'm thinking more long term, even after the bail out piece is executed. My question is how much debt do you think would have to be loaded onto our economy before the wheels completely fall off the cart? I have read that the nation is spending something like 5-6% of our nation's GDP just paying the interest on our credit card, and we are adding between 0.5-1% a year to that total because we are still borrowing. On top of that we just added a couple trillion of more debt so quickly they unexpectedly had to add a digit to the billboard. At what point do you think the debt load would get so high that the whole system would fail? There most certainly must be a point of no return. The Fed in theory could let the system fail, through incompetence or by necessity, because they are actually a private business, many of the owners do not even live in the U.S., and to think that there wouldn't be competing interests within its family might be unwise.

Report this comment
#3) On October 22, 2008 at 11:44 AM, goldminingXpert (29.67) wrote:

at some point-- 10 or 15 years out-- the dollar fails due o massive deb from entitlement programs. However, buying gold now for that event is irrational. The Euro will collapse long before the dollar does. A worldwide depression kills commodities... you buy them after everyone knows we are in the depression, because THEN you get the massive inflation. When I see a Newmont Mining at $10, I load the truck and the boat.

Report this comment
#4) On October 22, 2008 at 8:57 PM, abitare (80.88) wrote:

intrade has a 30% chance of a greater war. If the war expands, those that sold out here, are going miss a hure run.

 

Report this comment
#5) On October 22, 2008 at 11:10 PM, MGDG (35.27) wrote:

It looks like Japan is not buying the $USD. Unlike the rest of Asia, they are probably not holding a boatload of U.S. Treasuries.

Report this comment
#6) On October 23, 2008 at 12:12 AM, Harold71 (20.43) wrote:

This is the tide going out before the tsunami.  The US Dollar is scheduled to be destroyed.  But not till 2009 at the earliest.  It is not 10-15 years out.  It is within two years that we will see the transformation or death of the USD.  It is one crisis on top of another.  Don't you read the maps?

Heck a Euro collapse would be good for gold demand too!  But I have no data on the Euro at this time.

Report this comment

Featured Broker Partners


Advertisement