"Dollar headed for 'multi-year rally' "

[SEC agent]

http://money.cnn.com/2013/06/20/investing/dollar-bull-fed/index.html

[kokojie]

Yep, word on the street is dollar is going to rally against other currencies. Now the question is will it rally against Bitcoin.

[Cranky4u]

Just American hype to prop up their falling dollar.

Check the amount of US bonds the Chinese hold and how they are ready to switch the entire world oil economy from petro/US to petro/gold and therby remove the US$ as the worlds reserve currency.

This move will bring about the economic downfall of the US and hurt the west but above all it will mean the US no longer has a defacto income from dumping bonds / cash onto the world market.

[aigeezer]

"Today we are engaged in a new currency war, and another crisis of confidence in the dollar is on its way. This time the consequences will be far worse than those confronting Nixon. The growth in globalization, derivatives and leverage over the past forty years have made financial panic and contagion all but impossible to contain."

"The new crisis will likely begin in the currency markets and spread quickly to stocks, bonds and commodities. When the dollar collapses, the dollar-denominated markets will collapse too. Panic will quickly spread throughout the world."

from a newsletter published today: http://dailyreckoning.com/prelude-to-currency-wars/

You may recognize the source - DR has been positive about BTC for at least a couple of years.

[btceic]

Just American hype to prop up their falling dollar.

Check the amount of US bonds the Chinese hold and how they are ready to switch the entire world oil economy from petro/US to petro/gold and therby remove the US$ as the worlds reserve currency.

This move will bring about the economic downfall of the US and hurt the west but above all it will mean the US no longer has a defacto income from dumping bonds / cash onto the world market.

petro/gold?

Not sure about this, gold breached $1300 today, down from $1800.

If the worlds economy is going to be based in part upon gold then the selloff? It's getting dumped enmass

[SEC agent]

This move will bring about the economic downfall of the US and hurt the west but above all it will mean the US no longer has a defacto income from dumping bonds / cash onto the world market.

Yeah, I ha been hearing this song since the mid 2000's, and nothing has happened yet.

In fact, all I see is improvement.

[Cranky4u]

This move will bring about the economic downfall of the US and hurt the west but above all it will mean the US no longer has a defacto income from dumping bonds / cash onto the world market.

Yeah, I ha been hearing this song since the mid 2000's, and nothing has happened yet.

In fact, all I see is improvement.

and this process has been ongoing for over 50 yrs

[farlack]

Just American hype to prop up their falling dollar.

Check the amount of US bonds the Chinese hold and how they are ready to switch the entire world oil economy from petro/US to petro/gold and therby remove the US$ as the worlds reserve currency.

This move will bring about the economic downfall of the US and hurt the west but above all it will mean the US no longer has a defacto income from dumping bonds / cash onto the world market.

They can do that, but then we can also drain our fields dry, make a killing on the markets, I'm taking trillions $$$ and one we're bone dry of all the oil we dumped, we will start using our H2O patents to power our cars off of water.


I think that would be the best thing for our economy, loads of high paying jobs, we would not know what to do with our reserves.

[xxjs]

The dollar could easily be the last one standing, while all other fiat fails. It will then obtain value due to increased user base. It will certainly not raise due to improving economy or getting the fiscal house in order, because the economy is not improving, and the fiscal house is not in order.

[BrightAnarchist]

http://money.cnn.com/2013/06/20/investing/dollar-bull-fed/index.html

Agreed.

[tabnloz]

The dollar could easily be the last one standing, while all other fiat fails. It will then obtain value due to increased user base. It will certainly not raise due to improving economy or getting the fiscal house in order, because the economy is not improving, and the fiscal house is not in order.

As the reserve currency the US has a position of strength in this Currency War. From reading Rickards book, these kinds of currency battles can last years so it may be a long battle.

In saying that, China has set up direct swap lines with the UK, Australia and I think Russia? This is a way of cutting out the US as middleman and suggests that there isn't much trust there.

Not many economies are improving and most indicators are screwed up. Gold is heading down at the same time stocks are, so the stocks v gold debate is sorta moot.

Bitcoin is still solid though but I think everyone knows the regulation shock is coming.

[xxjs]

The dollar could easily be the last one standing, while all other fiat fails. It will then obtain value due to increased user base. It will certainly not raise due to improving economy or getting the fiscal house in order, because the economy is not improving, and the fiscal house is not in order.

As the reserve currency the US has a position of strength in this Currency War. From reading Rickards book, these kinds of currency battles can last years so it may be a long battle.

In saying that, China has set up direct swap lines with the UK, Australia and I think Russia? This is a way of cutting out the US as middleman and suggests that there isn't much trust there.

Not many economies are improving and most indicators are screwed up. Gold is heading down at the same time stocks are, so the stocks v gold debate is sorta moot.

Bitcoin is still solid though but I think everyone knows the regulation shock is coming.

The reserve status of the dollar currently is not formal, and other national banks use other kinds of fiat plus gold as reserves. It is more that dollar is the most popular (the best) money type for international trade. Even parties with two different fiats outside the dollar area may prefer to go via dollar to avoid spread and slippage. It is a long way to go to displace dollar for international trade.

[Spendulus]

.....we will start using our H2O patents to power our cars off of water....

Nope, that isn't going to happen.

[Elwar]

Considering we are about a month away from the Federal Reserve buying all of our Treasury bonds (currently buying over 80%), I am not surprised by desperation in trying to get other countries to want to buy our dollars.

We are too far gone. The dollar is useless.

[NewLiberty]

Gold and silver are down, dollar is up, just means there is a sale on gold and silver.  I like getting my silver for 50% off.

[okidoki]

Great news!

[Elwar]

From the article:
"The federal deficit is expected to fall to 4% this fiscal year, and drop to 3% by 2019"
2013 total spending: $3.8 trillion
2013 total revenue: $2.9 trillion
Deficit: $.9 trillion = 23%

You want to know how I know you are a government shill article?

[SEC agent]

The dollar is useless.

It's infinitely more useful than your internet monopoly money (which appears to be crashing as we speak).

[NewLiberty]

The dollar is useless.

It's infinitely more useful than your internet monopoly money (which appears to be crashing as we speak).

For relativistic definitions of infinity?  Or is this hyperbole?

[Elwar]

The dollar is useless.

It's infinitely more useful than your internet monopoly money (which appears to be crashing as we speak).

I am glad you believe that. Do not buy bitcoins at their low price.