[GodGunsGuts]

Dollar Little Changed After Greenspan Expects Further Decline

By Min Zeng

Dec. 12 (Bloomberg) -- The dollar was little change against the yen, after falling from a two-week high yesterday when former Federal Reserve Chairman Alan Greenspan said the U.S. currency will keep dropping until the current-account deficit shrinks.

http://www.bloomberg.com/apps/news?pid=20601101&sid=aTMNnHEXciZ8

[Toddsterpatriot]

``The dollar is heading where the current account deficit goes,'' said Tim Mazanec, a senior currency strategist at Investors Bank & Trust Co. in Boston. ``A widening deficit will cause the U.S. more pain.''

Maybe you can explain to me why, if a foreigner takes his dollars and buys U.S. stocks or bonds, that will cause the U.S. pain, but if he takes those same dollars, earned from selling goods to America, and buys U.S. goods, that won't cause the U.S. pain?