Tuesday, April 26, 2005

WHY IS THE DOLLAR THE DEFAULT CURRENCY?

Any "weakness" in the Japanese or Euroland economies is immediately translated into dollar strength..... But why is that? Does a weak economy in Germany really mean that the dollar is a better currency?

The great global boom that was started by Greenspanomics is over..... Weakness in demand is a global phenomenon. It's not confined to Germany or Europe or Japan.

The China Glut is going to change everything....China's hoard of dollars is becoming a geo-political bargaining chip of some importance.

The real way to play the currency market is to go to commodities ASAP....and avoid paper assets in all of their forms.