MoneyTec.com Traders Community Forum - View Single Post - End of dollar's latest rally. 10 Feb 2005

20pipsaday · 17-02-2005, 01:23

Interesting thoughts about saving the USD etc etc

I am not sure how achievable it is in practice though? it seems there are such severe structural problems with the US financial system (and the USD) that I cant see a gameplan that would work to rescue the USD? (long term)

the US currently absorbs 80% of the worlds savings, and that number increases every quarter. Just doesnt make sense..... at some point people need to spend their money, why would the savings flow never reverse? even worse at some point what if the USA needs more than 100% of the worlds savings to keep the debt engine running

what is the australian acc deficit relative to GDP? its hard to short that AUD because of the interest rate

17-02-2005, 01:23	#7 (permalink)
20pipsaday level 3 Join Date: Mar 2004 Posts: 133 Rep Power: 0	Re: End of dollar's latest rally. 10 Feb 2005 Interesting thoughts about saving the USD etc etc I am not sure how achievable it is in practice though? it seems there are such severe structural problems with the US financial system (and the USD) that I cant see a gameplan that would work to rescue the USD? (long term) the US currently absorbs 80% of the worlds savings, and that number increases every quarter. Just doesnt make sense..... at some point people need to spend their money, why would the savings flow never reverse? even worse at some point what if the USA needs more than 100% of the worlds savings to keep the debt engine running what is the australian acc deficit relative to GDP? its hard to short that AUD because of the interest rate