Why the stock market is going up…
Unfortunately, the stock market is not making great gains right now. It may seem so, but in reality it’s just a market adjustment due to our currency devaluation. Also notice how the market took off as soon as healthcare reform started taking a nosedive.
Several months ago, I was checking on the exchange rate for Australian currency, it was $1 US to $1.50 AU. Today, it’s $1 US to $1.19 AU. I’m no math whiz, but that’s a 20% devaluation of the American dollar. This is why oil is back up to $70 a barrel, dollar devaluation. If the dollar was worth what it was 4 months ago, oil would be $56 a barrel.
Our government has pledged all US assets to the Federal Reserve (private bankers). Think about it, who has ALL the money? It's not the United States...well, maybe the mint.
So before you feel safer about our economy turning around, you might want to rethink the idea. The devaluation is going to cause inflation. You may want to invest in all the trustworthy foreign currency you can… I am!
3 comments:
Dead on Denny. What is worse, even with all the inflationary printed money coming on line, there is still no money for lending in the private sector.
We are in for much deeper shit than what we see right now.
All thanks to, "I-want-to-be-just-like-Jimmy Obama. Exact same playbook, and it will have the exact same results.
John Birch
I've heard you mention Australia more than once. Is it a serious possibilty that you will you be blogging from down under?
DCB
Wasn't the guys name in CDB's "Uneasy Rider" named John Birch.
"Brother John Birch....I belong to the Antioch Baptist Church.....and I ain't even got a garage....you can call home and ask my wife."
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