Tuesday, November 30, 2004

Weaker $$$$ only brings PAIN
http://www.briefing.com/Silver/Calendars/EconomicReleases/gdp.htm
Look at chart showing net exports....since dollar made its highs....the exports have crumbled along with value of dollar!!!!This is because CHinese dollar policy and our low interest rates have helped to build China as world engine as instead of goosing domestic spending and consumption in our country for OUR goods, we have stimulated others at OUR expense.Crouching tiger no more.

With YUAN dollar peg.....this will not change.Going forward we depend even more of the kindness of strangers.And WE are the worlds economic engine? WIth an already HISTORIC above 1929 total debt to GDP %?
As I continue and will exhort til my last breath....NOTHING in place in 1980 at beginning of GREAT longest bull is in place now....it is turned upside down on its head!The 3.9 GDP is PURE fiction as the US is ONLY country to report in HEDONIC INFLATED make believe numbers.
Earnings growth decelerating....stimulus over.....deficits soaring, debt exploding....just to pay INTEREST on DEBT mind numbing.....pay the piper day of reckoning Greenspan style never to come......those of us NOT alseep know the damage done and the price to be paid.....sooner or later.

With some measures of stock market bullishness ABOVE what was found in 2000??!!! Make you emind up as to whether there is still VALUE to be found, and that years ending in FIVE being positive with NO foundation for that will AGAIN be true.

D

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