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I agree 100% everyone knows there is no way the US will be able to pay back their debts...but do not be surprised how long this dollar strengthwill last.Originally Posted by Dey Know Yayo
the yen's and dollar's strength will be temporary. next year i see USD and JPY start declining as well finally.
all of this quantitative easing means fiat currencies as a collective will eventually face mass devaluation against hard assets once the deleveraging gorilla runs it course.
The savings rate in the US is rising rapidly = demand for treasuries
EU on the brink of collapse = demand for treasuries
deflation = demand for treasuries
risk aversion = demand for treasuries
you might be surprised how long the dollar holds out. Devaluation is assured though. I think, personally, one of them will fall first (the yen or the dollar)and then all hell will break loose. For people that arent positioned incase of devalution, pray it is the yen.