Dollar Loses More Ground [Don't look now, but.....Dollar Death Accelerating]

The Wall Street Journal ^ | 04/28/2011 | STEPHEN L. BERNARD

[Rich21IE]

Dollar Loses More Ground. NEW YORK—The dollar dropped after economic indicators pointed to a dismal employment picture and slowing economic growth. The dollar has been hammered recently, losing out on interest-rate differentials and regularly hitting multiyear lows against other major currencies. Losses were especially bad Wednesday after Federal Reserve Chairman Ben Bernanke indicated the central bank is far from tightening monetary policy as economic growth remains slow and unemployment remains high.

[TheOldLady]

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Lazamataz is hanging in the balance!

[familyop]

"Losses were especially bad Wednesday after Federal Reserve Chairman Ben Bernanke indicated the central bank is far from tightening monetary policy..."

The genius free trade propagandists have been saying that it would be tightened in June in their efforts to bring oil down and kill their own great hope in tourism and services. Yes, the inflation is due to a falling dollar, but it's also caused by rising foreign product prices and increasing foreign oil consumption (foreign manufacturing still increasing).

Globalist political business speech is evil.

[familyop]

"At that point I have to wonder, what relevance does politics anymore have to this debacle."

The relevance of keeping the debacle going, of course. The bipartisan politicians have to continue the flow of debt money to public officials, public employees and back to service businesses.

[Ballygrl]

As someone who’s not as up on economics as I probably should be, what happens if the dollar collapses?

[eak3]

I would hold on to it. The way were going, your going to need silver soon to trade for commodities like food and gas.

[screaminsunshine]

Communism is the death of 1000 cuts. Uggh! Slow ride to Hell.

[AAABEST]

Ber-snakey speaks yesterday - the dollar dives, oil, gas, gold and inflation go through the roof.

The man is sheer magic. Keep printing Ben, inflation will eventually bring your bankster buddies' toxic assets out of the hole, and the fed will get billions in interest. What have you got to lose?

The American people who use these dollars to live - that's THEIR problem.

[cherokee1]

The Japanzees announced early on, after the “Big Fukushima”, that they were going to have to dip into their bond reserves to help recovery. And that was before they really started toting up what recovery was gonna cost. Curiously I only heard this on Chicom news, never on US domestic news. Don’t know the what and when of the sale but I’d expect they’d be gradual, only as they actually need the bucks.

[cherokee1]

“-—debates rage on Capitol Hill “-——Guess I missed that part. I dearly would love to see a SKorean parliament style slugfest in the House. I’d buy a ticket. The whole daxxx bunch still don’t really seem to grasp the problem. You want to hear mumbo-jumbo?-—dial up C-span most any time.

[familyop]

"what about Canadian money?..."

Canada is an exporter of oil and other commodities, but there is a clinging to services and trade by corporate-government interests on both sides of the border in the northeast. Those interests will not let go of the debt regime easily and will continue to try to peg--deal by deal--the Canadian currency with the US dollar. ...in other words, to drag an oil exporter currency down with an oil importing currency.

Eventually, though, it seems that their artificial (debt) hold on currencies may be ripped loose, and uses of natural resources (necessities) prevail.

[familyop]

"As someone who’s not as up on economics as I probably should be, what happens if the dollar collapses?"

Necessities (commodities in world trade) become very expensive for Americans, for one. For government, the alternative is default sooner by not having the dollars to pay its employees. For east Asian manufacturers, their alternative to the falling dollar would be to stop their production and economies from further increasing.

[familyop]

And BTW, the hypothetical, intentional (and not likely) stagnation of east Asian production would not stop the dollar from falling, either, because our current increases in debt (for lack of sustainable revenues from manufacturing) are pushing the dollar down (increasing risks to dollar investors).

[bert]

I would also buy a ticket or nicely ask someone in the DC Chapter to take my money and buy one for me. Can you imagine Waxman conked out on the floor and J Jackson down with him floor giving him CPR? What a spectacle.

The Ryan budget is reported to be a pretty good attempt at curtailing spending. It has produced rage on the left.

[CottonBall]

Commodities tend to keep their value relative to each other.

My hubby keeps saying how much gold and silver are rising. I keep correcting that they are not rising so much as the dollar is dropping.

Even those in the Weimar Republic tended to look at it backwards.

[omega4179]

I have a few I bought for .45 cents each after talking to a “loonie” I am glad I listened to him now.

[Monorprise]

“I’m almost wondering if I should trade in my dollars for Confederate money at this rate.”

Dead currency’s may not be inflating in value.(deflating actually) But they also don’t have a strong financial base, only a select number of people will take em.

This is where legal tender laws come into play.

Unfortunately our States can only make Gold and Silver coins legal tender. Still that might be enough if we device a way to uses local banks with local banknotes(checks/credit cards) for all intensive proposes, which deal exclusively in gold and Silver coins NOT Federal reserve banknotes.

You see it should be possible using modern electronic banking to dynamically keep our money in anther non-inflating medium for the maximum amount of time and only transfer to the “volatile currency” only for an absolute minimum amount of time necessary to make the actual transaction.

Our State Governments could further back this up by providing us with a more inflation resistant gold and silver coin medium to work with with.(as I believe Utah just did)

[Chickensoup]

It was high in Nov when I had to buy canadian. At least this high.

[wolfcreek]

“cept now, the dime has no silver. Sigh.

[mojitojoe]

I’m glad I kept my stash that my grandfather left me. Never know when it might be needed.

[Lexinom]

I'm no economic expert, but it seems to me, going by simple common sense, that the more dollars are paid to people for no work, the less a dollar is worth.

BTW, I'm not just getting at welfare loafs here. I'm also talking about corporate execs who, likewise, have a very low work-to-pay ratio.

"The common is worth less than the rare" - Aristotle, On Rhetoric.