Large Sarge
6th June 2010, 08:46 AM
I have been thinking on this Euro thing, and its going to the grave.
We get steady reports of Europeans buying record amounts of gold (and just recently buying silver)
I know Bernanke has been monetizing the debt, for these record auctions.
but didn't the European Central Bank offer a LOT of dollar support?
along with the U.K. & Australia, and the pirates of the caribbean.
basically I am thinking that a major support leg of the U.S. dollar has disappeared.
Perhaps the new demand for the dollar (recent dollar strength) is just the currency swaps, and the EU central bank using borrowed dollars to buy the Euro.
so when the Euro crashes, the Dollar will lose the short term demand, and its long term support
anyway, sometimes it helps me to "think out loud"
anyone see anything to watch for???
We get steady reports of Europeans buying record amounts of gold (and just recently buying silver)
I know Bernanke has been monetizing the debt, for these record auctions.
but didn't the European Central Bank offer a LOT of dollar support?
along with the U.K. & Australia, and the pirates of the caribbean.
basically I am thinking that a major support leg of the U.S. dollar has disappeared.
Perhaps the new demand for the dollar (recent dollar strength) is just the currency swaps, and the EU central bank using borrowed dollars to buy the Euro.
so when the Euro crashes, the Dollar will lose the short term demand, and its long term support
anyway, sometimes it helps me to "think out loud"
anyone see anything to watch for???