G-20 Old News…Today Markets Will Be Back to Bashing You Know What
G-20 Old News…Today Markets Will Be Back to Bashing You Know What
They came. They talked and they talked some more. They decided to call for more “sustainable” current-account deficits. They came as close as we’ve seen so far to promising to stay away from the devaluation of each others’ currencies.
Of course, I’m talking about the G-20 meeting that wrapped up this weekend in South Korea. But it looks like it was all for naught if we look at the markets.
This morning, it is more of the same. Actually, it’s worse, with the U.S. dollar reaching a 15-year low against the yen. The markets do not believe that a halt to the devaluation of the U.S. dollar can happen, regardless of the assurances we have heard from the G-20 countries. (Too bad for me, I was hoping the greenback would rally here a little, so I could go gold bargain-hunting again.)
We need to face the facts.
No currency can sustain itself when the issuer is bankrupt. That is the case right now with the U.S. dollar. Who are we kidding? The U.S. government is spending about 5 billion more a month than it takes in and other world countries are na
Categories: Stock Market 2011 Tags: account deficits, Assurances, Austerity, Back, Bashing, bullion dealer, currency, Current Account, Debt Load, Decline, def, Demise, Devaluation, Google, Great Britain, Greenback, Know, Majo, Market, Markets, Naught, News...Today, Old News, South Korea, Stock, Stock Market, test, two, World Countries, world currencies, Yen
