Hello Bloggers - I've been saying it for a while, and I will continue to say it - the DOLLAR IS IN TROUBLE! Bloomberg is reporting this morning that the world’s biggest currency-trading firms say "the dollar’s appeal as a haven amid the financial crisis all but evaporated."
Come on people, do you need me to hit you over the head with a frying pan? If you want to grow your money over the next ten years, diversify your savings now or you will be stuck in cheap dollar investments. Think about it this way, people overseas invested in US/dollar investments because it was safe. Now it's not, got it? The dollar is one more victim of the nightmare that is George Bush.
"The U.S. currency slid to a 13-year low against the yen today and had its biggest one-day decline versus the euro after the Federal Reserve reduced its target interest rate yesterday to a range of zero to 0.25 percent, the lowest among the world’s biggest economies."
“Prospects ahead appear particularly ominous for the world’s reserve currency once global economic stability starts to build up.” The Fed’s debt purchases will cause the dollar to weaken to $1.4860 per euro, analysts led by Robert Sinche, New York-based head of global currency strategy at Bank of America Corp., wrote in a report yesterday."
Wow, it's happening even earlier than I thought. People are pulling their money out of the US faster now, and it will only get worse. I knew the dollar would collapse, but I thought people would wait until after the crisis calmed down a bit more. Oh well, at least the Republicans will have a harder time making the upcoming depression look like a problem for the Democrats. The earlier it hits the better I guess.
I don't know about my fellow Americans, but I'm looking at international investments, especially nations with strong natural resource holdings. It makes sense to look to nations/currencies that will BENEFIT FROM THE US SPENDING but NOT SPEND THEMSELVES.
Canadian-dollar investments/natural resource bonds look good to me. I'm also looking at Eurobonds. You can always come back home when things calm down. I'm only suggesting we don't get trapped. I'm looking north and overseas for my financial safety.
George Bush left so many problems, and according to most experts the only way to get out of the hole is to spend, so no matter what happens the dollar will suffer.
As always, I would like to thank my Republican friends again for electing MORONS who got us into this mess. Your HORRIBLE JUDGEMENT has led us to this crisis. I think you should all be BANNED FROM VOTING until we can repair the damage you've caused.
The signs keep coming people.
Thursday's Financial Rant #1 - Michael