posted on Feb, 17 2009 @ 07:23 PM
I have to chuckle to myself as I read comments by some wishing to make something of a little profit, or encouraging and hoping others manage to do so
off the back of a temporary strengthing dollar. Fair enough, I suppose it is a happy distraction whilst the Asian, Eastern-bloc, and European
countries spin inevitably towards a domino-effect of crashing.
You see, European financial centers are trying to stave off the effects of a 'double-whammy', that of connections to American sub-prime, but also,
lending large amounts to Russia, Ukraine, and other Eastern-bloc countries, all of whom are taking nosedives off the topper-most branch of the finance
tree, and hitting every branch on the way down. As they topple financially - because their economies are sinking faster than a lead balloon, they
cannot repay the colossal loans they received, so their disintergration is pulling down the lenders also. With this in mind, and with America facing
only one bad aspect of its own mismanaged finances (they are not linked to the same double-whammy as their European counterparts), the dollar is
looking like a safe haven, so it is being bought up in large amounts. Yet, by this happening, America becomes connected to the 'double-whammy'
through the devaluation of the dollar (to occur soon) when those countries collapse financially. America, or certainly parts of it, will feel the
domino effect of the European crash. The only way to escape this is not to be connected at all.
The whole idea behind the bailouts was to get the banks lending again, to get the credit markets unfrozen (or so we were all led to
believe)...unfortunately, they've hit a iceage, so we are now seeing contractions of economies worldwide. The bailouts are no longer for unfreezing
credit, but merely to prop up failing and collapsing economies. We are witnessing countries dying financially, and are hearing the 'death rattles'
from them. Keep an eye on Austria! Equally, other countries to have at least one eye open on are Ireland, Spain, Greece (which has ordered its banks
out of the Balkans), and Portugal.
Somehow, all this European failing is about making the Euro the central currency. So I would expect to see it strengthen later in the year, and the
British pound to take such a battering that the UK government will adopt the Euro against the wishes of its population. How this opens up avenues for
civil unrest is anybody's guess, but it looks likely. Out of this manufactured mess is the concept of centralisation and corporatistic impositions
replacing cherished historical traditions and ideas on freedom and liberty. We will no longer be looked upon as 'free individuals', but as corporate
assets to be traded as is seen fit. I believe America has its own similar concept unfolding, synchronised to that of Europe. We shall see...but in the
meantime, go make a little profit while you can...it ain't going to last.