no, since: 1.) Interest rates on those homes will rise to prohibitive levels 2.) REIT dividend payouts will seem anemic relative to bank deposits 3.) Why spend your $$ on a non-appreciating asset when you can buy into the equity market, designed to outpace inflation, with 100%up room to go!!!!! 4). #3 i am not sure on yet but this may be the buying oppty. Short USD Long US equities Sell bonds buy gold hmmm........ is this the recipie?
would have been great..could have also brought his sound board!! Mr cramer how do you feel about the current fed neutral rate? "sell sell sell.... rooooaarrr" boooyah! Senator!
Well, I understand Harriet Miers will be available soon. She has about the same level of appropriate experience for the Fed as she does for the Supreme Court.
. October 24, 2005 SouthAmerica: Bernanke, 51, is a former member of the Fed board. He also was a professor at Princeton University and chairman of the economics department. Paul Krugman also is a professor at Princeton University. I hope Bernanke will keep in touch with Paul Krugman since he will need all the help he can get and he will need a lot of good advise on his efforts to keep the American economy afloat. .
Bernanke rhymes with "LACKY" Once Al and Andrea set sail to the retirement spot, Bush will have the "FED" under his wing. Interest rates will "NOT" be raised to control inflation. Then quess what will happen? YEP, the deficits will be monitised through inflation and paid off with inflated dollars. Bush will claim he kept his promise to lower the deficit... The middle class will pay the price again as their cost of living shoots through the roof. Business will use inflation also as a excuse to raise prices over and above the inflation rate, called price gouging...
. Bighog: Once Al and Andrea set sail to the retirement spot, Bush will have the "FED" under his wing. Interest rates will "NOT" be raised to control inflation. Then guess what will happen? YEP, the deficits will be monitised through inflation and paid off with inflated dollars. ******** October 25, 2005 SouthAmerica: You forgot the best part. â The US dollar has a meltdown in the international currency markets â and we have the biggest international monetary crisis of the new millennium. Not only Central Bankers will dump their US dollar positions, but also any smart foreign investor will be wise to cash in and take their money out of US dollars. It will be great also for the US stock market and the US economy in general â if you enjoy a good economic crash. (Remember today almost 75 percent of US currency is flying around the world completely out of any control from the US government â and if the foreigners âPanicâ and decide to dump their US dollars positions at the same time â After the crash the fake money that comes with the Monopoly board game will be worth more than the real notes of US dollar.) .
Southamerica, Correct, the dollar has seen its best days. The day is fast approaching where the rest of the world will see the USA as a debt ridden risk to keep the dollar as the worlds "RESERVE" currency. When that happens the dollar will sink like Bush has in the polls. Yes, once the twin deficits cause the worlds money managers and central bankers to seek a safer haven for their cash you can be assured the rich fat cats will do the same as the real money leaves the USA. Hot money follows 2 things, return and safety. As we lose the value of the dollar and its "RESERVE" status for pricing the worlds goods, two things will happen. First, our interest rates will rise and this will temper the outflow of dollars until inflation rises and nulifies said interest rate rises. (relative to return) Then safety will be front and foremost in the monied peoples eyes and the outflow will be fast and swift.
Excellent Commentary........ In your opinion...which currencies will be the winners...and which will be the losers....?