Dngerous play by dóllar movers

The flow of capitals in dóllars seems to be concentrating in a sort of carry trades aiming at strengthing the yen with full disregard of the real japanese economy .

Obviously it forces Japan to buy as much as possible of the american debt being issued by the USA .

The singular action by Japan to stop artificial strengthening of the yen will be useless and besides it confirms something that Brahmason has been recentlly warning .Such play is accentuating a tremendous risk of a dóllar colapse.

In fact under the circumstances the best temporary medicine to gain time, would be the writing off of an important part of american debt in dóllars.

The world economy simply cannot go on with an excess in dollars liquidity as the one we a putting up with currently .


Published in: on septiembre 17, 2010 at 12:40 pm  Deja un comentario