CTB Show 497: Edgar Allan Poe Walks Among Us
5 days ago
Thursday, March 4, 2010
Chill BMR...The sky is not falling
BMR the value of currency is only on facet of the economy and to say that everything depends on the value of the dollar is not telling the whole story.
Our economy is based on all commodities such as currencies (dollar, euro, etc.), bullion/precious metals (gold, silver), base metals (copper, iron), softs (corn, coffee), energy (my business gas, coal, power, etc.) and hundreds of other kinds of commodites that are traded on wall street as well as all the other kinds of commerce traded on the open market by investors day traders, brokerage firms, investment banks, etc.
The stock market has somewhat recovered and when the unemployment numbers come out tomorrow (hopefully flat) that would ease concerns even more. We are not out of the woods by a long shot but we are still way the fuck ahead of most other nations especially european nations like Spain, Ireland and Greece. China's currency took a big hit recently as well. Inflation and deflation are inherent in a moving economy so to say I used to pay this and now I pay this is all relative to a bunch of other factors.
By the way how old is that documentary? And who is that group that assembled it? Everyone has an angle so documentaries easily manipulate things in their favor to prove the point they are trying to make.
This is just one of many articles showing modest gains in the economy from today.
If the dumbass fools in DC would get their shit together and pass a healthcare bill we could expedite the recovery even more....right Head?
So have a coke and a smile and chill homey
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"When the unemployment numbers come out tomorrow (hopefully flat)" ...and flat they are.
ReplyDeleteIn a lot of ways it wouldn't be bad for us if the value of the dollar drops relative to other currencies, as it would make us more competitive in international trade (both in exporting our own goods and in whether to import or use what we produce domestically). Obviously an outright collapse would be bad, but treasury bonds* are still at historic lows, so obviously the people buying on them aren't too worried that we're going to default on our debt.
As a side note to what Mr. Deep says about Greece, Spain, etc, it is really interesting how the EU's partial economic integration is just totally murdering the economies afflicted by a bubble in the last decade in a way that it wouldn't if they had either been fully integrated or not integrated at all.
*I'm borderline in over my head here so I might be using the wrong term. T-bills, T-notes, etc - I don't really understand the difference between them.