Dollar Plummets As Expectations Of QE3 Spread

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Wed, 02/23/2011 - 11:53 | 988543 Mr Lennon Hendrix
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Economists think a weaker dollar will improve the economy.


Wed, 02/23/2011 - 12:01 | 988593 Dr. Richard Head
Dr. Richard Head's picture

The double-speak of the "media" and "economists" indeed numbs the mind.  Numb numb numb. 


Wed, 02/23/2011 - 12:25 | 988699 Ragnarok
Ragnarok's picture

Haven't we all learned to love Big Brother -> Ben Bernanke.

Wed, 02/23/2011 - 12:28 | 988715 MsCreant
MsCreant's picture

The kind of love Big Brother gives is called "incest."

Wed, 02/23/2011 - 13:10 | 988932 optimator
optimator's picture

But, remember the "Tribes" definition of incest.

"Incest is like money, its best kept in the family."

Wed, 02/23/2011 - 12:49 | 988805 VegasBD
VegasBD's picture

The last couple times this has happened, I BTFD midday on forex and woke up to nice profits. Me regular trades make no sense now, but Im gonna keep BTFDs till it doesn't work anymore.


Wed, 02/23/2011 - 12:02 | 988595 Cindy_Dies_In_T...
Cindy_Dies_In_The_End's picture

dude naw.


the rumor yesterday was that Ben has to pull the plug.


Too many ticked off countries waiving their fists.

Wed, 02/23/2011 - 12:06 | 988615 unwashedmass
unwashedmass's picture


good job, Ben, good job. the world is in flames.

Wed, 02/23/2011 - 12:06 | 988616 unwashedmass
unwashedmass's picture


good job, Ben, good job. the world is in flames.

Wed, 02/23/2011 - 12:17 | 988665 redpill
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OT: Existing Home Sales released


As I've previously described, NAR Existing Home Sales are massively overstated, which was confirmed recently by a press release from CoreLogic, who tracks actual transactions.

So when you see the NAR Existing Home Sales reported today,

Ignore the change in volume, it's statistically meaningless at this point.  The real news is that prices continue to fall.  In fact they've fallen to 2002 lows.  That means you would have needed to purchase your home over 9 years ago to be in positive territory.  Nothing like a lost decade of home equity to give folks another push toward strategic default.  (Try pricing them in gold for a greatly depressing view).

Further, I await the first bold property owner to get legal council and pursue the market-pumping Realtors for knowingly releasing inflated and fraudulent data.  Ok, so I won't hold my breath.

Wed, 02/23/2011 - 12:27 | 988711 DonnieD
DonnieD's picture

I heard Baghdad Bob is the new spokesperson for the NAR. Apparently that Lawrence Yun clown wasn't doing a good enough job.

Wed, 02/23/2011 - 16:09 | 989962 Temporalist
Temporalist's picture

More on the topic:

""It is really a foreclosure-driven market," said Ethan Harris, head of developed markets at Bank of America Merrill Lynch Global Research in New York, who projected sales would increase to a 5.38 million rate. "I don't think it is a sign of the market returning to health.""

Wed, 02/23/2011 - 12:33 | 988732 the mad hatter
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pray for king dollar that the DX doesn't break 77. That's the uptrend line that has been in play since 08.


i wouldn't be surprised if it did though. flight to safety does not mean flight to dollar anymore so one should back the truck on PMs.

Wed, 02/23/2011 - 11:54 | 988544 Circlehook
Circlehook's picture

Anything REAL  Bitchezzzzzz!

Wed, 02/23/2011 - 11:54 | 988547 umop episdn
umop episdn's picture

The Mock Starket goes up and the d lol ar is as good as GLD...until it's time for another round of queasing.

Wed, 02/23/2011 - 12:46 | 988796 Cocomaan
Cocomaan's picture

"Queasing". I like it!

Wed, 02/23/2011 - 14:00 | 989267 whatz that smell
whatz that smell's picture

...just like that fuking midget G.G.'s sister!- she's queasy!

Wed, 02/23/2011 - 11:54 | 988548 Sancho Ponzi
Sancho Ponzi's picture

The dollar is down more than half a percent today, and equities are still in the red. Rock meet hard place.

Wed, 02/23/2011 - 12:05 | 988609 spartan117
spartan117's picture

Yeah, I noticed that as well.  Not a very good sign. 

Wed, 02/23/2011 - 12:07 | 988623 T Rex
T Rex's picture

Would you loan money to a rapidly devaluing currency?

It ain't QE3 it's the piper.



Wed, 02/23/2011 - 12:10 | 988641 LawsofPhysics
LawsofPhysics's picture

Yep, both equities and dollar down, hard place indeed.  Anything real indeed, including titys and beer.

Wed, 02/23/2011 - 12:10 | 988642 LawsofPhysics
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Yep, both equities and dollar down, hard place indeed.  Anything real indeed, including titys and beer.

Wed, 02/23/2011 - 12:25 | 988707 topcallingtroll
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titys and beer are down too.  At least at my local tity bar.

Wed, 02/23/2011 - 16:12 | 989991 Temporalist
Temporalist's picture

This may be disappointing then:

Lawmakers lukewarm, brothel owners seethe over Reid's call to outlaw prostitution

"The gallery in the Assembly chambers went silent Tuesday when Reid paused for applause after he told lawmakers from both houses that "the time has come for us to outlaw prostitution.""


Wed, 02/23/2011 - 11:54 | 988549 Fish Gone Bad
Fish Gone Bad's picture

"Primary Dealers to go out and buy some WTI this time instead of just crowding into Apple and REITs..."

They could, but everyone knows that REITs and Apple are sure things </humor>

Wed, 02/23/2011 - 11:55 | 988551 jus_lite_reading
jus_lite_reading's picture

There is only one way to prop up stock prices- devalue the dollar so it takes more dollars to buy less stock. Everything is great according to Dr. Deficit, a.k.a Kamikazi Ben.

Don't worry about oil. We don't need no stinkin' oil!

Whoops! There goes Axel Weber fleeing to his minisub!

Wed, 02/23/2011 - 11:55 | 988559 scythian empire
scythian empire's picture

So long stocks or something right

Wed, 02/23/2011 - 12:05 | 988606 jus_lite_reading
jus_lite_reading's picture

No. Long silver/gold or anything tangible or that can be bartered.

If you go long stocks, you may never be able to find a buyer or sell out. Dr. Deficit has made sure, retail can only BUY but never SELL.

I won't even short deliciously cooked book companies like TOLL BROS simply because I may never be able to take profit.

Buy physical and all you can.

Wed, 02/23/2011 - 12:17 | 988660 scythian empire
scythian empire's picture

I've owned a bit of silver (no longer at these levels as I'm thinking there could be some pull back), but based on the comment you yourself made, retail can buy but not sell (implying that i'd get some return in equities if owning over time).

Given the herd behaviour and adversion of change for the masses, I'm not quite ready to say that the dollar is flushed.  Maybe getting there for its status as a reserve currency though.  Ping Pang Pong is pretty annoyed with the monetezation stuff, though, really, what did they expect.

Wed, 02/23/2011 - 12:24 | 988701 topcallingtroll
topcallingtroll's picture

Yeah what should they expect for attempting to peg us to oblivion?

Wed, 02/23/2011 - 12:45 | 988785 scythian empire
scythian empire's picture


Wed, 02/23/2011 - 11:57 | 988563 dcb
dcb's picture

could be europe buying bonds as well with italy cds spreads, etc. I noticed it and thought this move strange as well

Wed, 02/23/2011 - 11:58 | 988567 Hondo
Hondo's picture

In which case Japan here we come......if we're going to create debt like water there is in fact NO differnce in the expected outcome of the US versus Japan.......all this proves one therom...that being every government official no matter where located is as dumb as a box of rocks.......makes no differnce....they can yelp all they want...the facts speak for themselves and you can't change those.

Wed, 02/23/2011 - 12:08 | 988620 SWRichmond
SWRichmond's picture

...if we're going to create debt like water there is in fact NO differnce in the expected outcome of the US versus Japan

Mish, is that you?  OMFG.  Empire?  Two wars in progress?  Domestric savings?  Reserve currency?  Export-based earnings?

Wed, 02/23/2011 - 12:23 | 988694 topcallingtroll
topcallingtroll's picture

turning japanese is the optimist scenario!

Wed, 02/23/2011 - 11:57 | 988570 scythian empire
scythian empire's picture

Maybe the mandate is to devalue the dollar just enough to get these home prices just in the black and thus take some of the stress of the banks?  Oh did they already give those back to the government, ie, we the people?

Wed, 02/23/2011 - 12:02 | 988571 Cognitive Dissonance
Cognitive Dissonance's picture

More power Scotty. I've got to have more power.


And yes Star Trek fans, I know the picture doesn't match the comment.

Wed, 02/23/2011 - 12:04 | 988607 Cindy_Dies_In_T...
Cindy_Dies_In_The_End's picture

Wait for'll work eventually.


I heard yesterday Ben is pulling the plug. He'll have to go about his plan another way.

Wed, 02/23/2011 - 12:17 | 988662 slackrabbit
slackrabbit's picture

I canna print the money  fast enuf cap'n

Wed, 02/23/2011 - 12:21 | 988685 SWRichmond
SWRichmond's picture

Try reversing polarity, Mr. Scott.

Wed, 02/23/2011 - 12:22 | 988691 I Got Worms
I Got Worms's picture

An I'm a given' er all shees goot!

Wed, 02/23/2011 - 12:43 | 988746 slackrabbit
slackrabbit's picture

For gods sake Scotty, we've got the UK, China & EU helping US to print the Austrailians, the Indians, Elvis and the women who runs the burger joint on the corner.....shit  even call Zero Hedge ...print man, print...Ohura call CNBS call in every last favour you have and dump every last bit of intergrity and get them to tell everyone 'OIL PRICES WILL NOT RISE'...we've got to keep this bs spinning

Wed, 02/23/2011 - 12:43 | 988736 Pez
Pez's picture

Timmay: What if, now this is a big if, I give big banks US Treasury gift cards on top of 0% interest?

TheBernank: Hmmmm....rewards points, BRILLIANT!


Wed, 02/23/2011 - 12:32 | 988729 Calculated_Risk
Calculated_Risk's picture

I'm doubling down on dilithium crystals!!!!

Wed, 02/23/2011 - 12:40 | 988765 Cognitive Dissonance
Cognitive Dissonance's picture

What is this, a Star Trek convention? Sheesh. :>)

Wed, 02/23/2011 - 13:12 | 988944 TBT or not TBT
TBT or not TBT's picture

Cell phones?   The original series called em "Communicators"

Teleconferencing?    "On Screen"

1960's dude.   Everyone is infected by now.    Now if only the food replicators were on the market, this series of arab psychostate failures might not have happened.

Wed, 02/23/2011 - 11:59 | 988574 Sucks_to_be_Smart
Sucks_to_be_Smart's picture

I think it is slightly different? 

I believe Euro crosses are up because the Euro area + England has been talking more actively about possibility of raising rates to fight inflation.  With oil up so much and commodities following in an escalating geo political event, this might be a pair trade with commodities--if the trend continues, ECB and BOE will be faster to raise rates and thus currency will appreciate vs dollar where bernanke sees no signs of inflation. 


Does this make sense?

Wed, 02/23/2011 - 12:07 | 988613 Dr. Richard Head
Dr. Richard Head's picture

It does make sense, but rhetoric and action are different in the world politic.  A rate raise would surely increase debt to GDP levels in the Eurozone and England. 

Either way, things seem to be flaring up in Greece yet again -


Wed, 02/23/2011 - 12:08 | 988621 pazmaker
pazmaker's picture

"Does this make sense?"



Wed, 02/23/2011 - 12:25 | 988703 zaknick
zaknick's picture

Dont forget that the Russians and Chinese are actively propping up the euro with public rhetoric and deeds while worrying out loud about the banksters' dollar QE. These are the battle lines for now.

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