jesusfreakinco (29.83)

jesusfreakinco's CAPS Blog

One seriously scary USD chart... PPT conspiracy theory

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March 18, 2009 – Comments (7) | RELATED TICKERS: PPT , EAT , GOLD

Two posts in one day... couldn't resist.

Check out the action on the USD today.

http://quotes.ino.com/chart/?s=NYBOT_DX&v=w

The greenie lost 3.6% in about 4 hours. If this wasn't the Chinese sending a signal, this will certianly get their attention.

Answer me this, however...

How does the stock market jump, bonds soar, and the USD tank in tandem? The answer must be, PPT made a coordinated move into the market just after they announced. If so, why didn't they try to contain gold's rise, or did they...

JFC

7 Comments – Post Your Own

#1) On March 18, 2009 at 6:35 PM, Imperial1964 (97.92) wrote:

The Fed starts buying US Treasuries. Treasuries rise artificially due to the increased demand. The US$ drops because we are effectively printing money. The stock market jumps because they ride the short bus and think this is a good thing.

No conspiracy. Just stupidity.

If I were a Treasury bond investor I would be selling into the Fed's bid right here. As a stock investor I am pondering some sort of cheap hedge against a total collapse of the US dollar or a global trade war in case we proviked the Chinese a little too much.

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#2) On March 18, 2009 at 6:57 PM, jesusfreakinco (29.83) wrote:

Imperial - gold is your hedge. Just look at the chart today. Don't by GLD because it is a fraud and likely to fail. By some of the miners. They will outperform the metail by multiples in my opinion.

JFC

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#3) On March 18, 2009 at 7:26 PM, TMFSinchiruna (57.72) wrote:

Right along with CNBC as cheerleaders... did you see Maria pump her fist in the air in approval? :)

Ludicrous.

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#4) On March 18, 2009 at 8:24 PM, TMFLomax (96.75) wrote:

Maria pumped her fist in the air in approval? Hurl, LOL

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#5) On March 18, 2009 at 8:28 PM, tonylogan1 (29.11) wrote:

The USA jumped the shark today. So sad.

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#6) On March 18, 2009 at 8:45 PM, cclogic77 (27.05) wrote:

Forgive me, but what does PPT stand for?

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#7) On March 18, 2009 at 10:19 PM, Option1307 (30.62) wrote:

cclogic77

Here ya go...

Plunge Protection Team

It's basically the idea that a select few individuals, the Pres/Fed/etc. manipulate the markets in order to ensue that there is not an absolute meltdown.

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