Friday, May 8, 2009

A moment of realization...

"A moment of realization is worth a thousand prayers."
- Woody Harrelson, Natural Born Killers

I've just had one of those. First, take a glance at the charts in Recession hides a boon for US Dollar and then read this quote from two centuries ago:

Observing the charts in the previous post, one thing becomes obvious: Trouble did not start until the US Dollar began rocketing skyward versus other major currencies. The entire credit crunch is that distribution of property which a 10-year-old would tell you must happen when the amount on loan becomes worth more stuff before it's repaid.

This massive increase in buying power (30%+ hidden interest on your credit) is being desperately covered up by mass inflation (injections of cash), which will soon render it invisible through shelf prices. The looking glass is only clear when held up against a basket of foreign currencies.

Because the Federal Reserve Bank of New York's stated purpose is to manipulate the ebb and flow of currency, this is a very big deal indeed, amounting to theft. Unfortunately, the position which is meant to oversee them (Secretary of Treasury) has just been filled by their own former president. The same private company which is responsible for this filthy transfer of ownership sent New Zealand their very latest election winner. I smell a rat, and see evidence plain as pellets of poo...

Wednesday, May 6, 2009

Recession hides a boon for US Dollar

The rise and rise of the US Dollar versus major currencies around the globe, simultaneously, would be the major financial headline any other year.

One time too many, I've heard people in Australia, New Zealand, South Africa and even the United Kingdom comment as a matter of fact that the US Dollar has suffered some grievous calamity at the hands of October's completely accidental market crash. Whether the truth is unreported or we're all simply avoiding those glum faces of the mainstream media, I can't be sure. But let's set the record straight, regardless!

In the suitably menacing charts below, the colourful lines are market indexes, so you can see what happened to the USD's value versus [your currency] as the drama unfurled. The blue line is the exchange value of the USD versus [your currency], and up is a stronger USD:

[US Dollar vs. Australian Dollar]
plus 3x markets for context

[US Dollar vs. British Pound]

[US Dollar vs. New Zealand Dollar]

[US Dollar vs. South African Rand]

Alongside the US health advisory to never flee to Mexico and/or cavort with swine, I would issue my own advisory to budget 30% more than last time for your next visit to the 'States. Those nice ladies at the foreign exchange desk may be considerably less appealing.