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Dollar Takes Out 2010 Lows, 2011 S&P Now Down 2.3% In Dollar Purchasing Power-Adjusted Terms
The DXY has just breached the support from 2010 lows. Ben Bernanke's stealth plan to inflate the debt is working. In other news, the dollar is now one lap ahead of everyone in the devaluation race. On a real, not nominal, basis the S&P is now down 2.3% expressed in constant dollar purchasing power terms.
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that extra 15.7 million spent on the Weds auction was the killer.
Good to see that Ron Paul's hearings yesterday had such an immediate and important impact on policy execution by Fed and Treasury.
Because its not what the people want thats important (gas and food prices that stop increasing several percent each week, for example), its what Fed and Treasury want thats important.
The extreme of a trading range; BTFD. Or, sell the Euro.
Nope, this signals a collapse into the yearly cycle low, due in May. Gold and silver will move skywards as a result.
BTW what the hell does the UUP represent? That thing actually taken out its 2008 low
that's a USD Bull ETF...in other words...it's a death sentence for any money put into it....or a fabulous vehicle for a tax write off (if you want to take the "glass half full" approach)
Dollar takes out low, Elliott Wave idiots calling a Dollar rally get it wrong (again)... near 100& failure rate (stocks, Gold, Silver, currencies, you name it!) but the 'Rob Prechter Retards' still think they can predict ...only Bernankes predictions get close to getting it wrong as often as the Prechter Wave sham show
Double HOLY CRAP as Tepco is saying that nuclear chain reaction is now possible!!!!!No amount of money can prevent this for worsening.
http://fiatsfire.blogspot.com/2011/03/japan-finally-raises-emergency-lev...
When THEY say then you knowd its bad!
day-glow green shoots?
Who cares. Prices are going up. Be happy.
WTI today closed over $102/bbl
Tokyo is only a change of wind from being shuttered.
Bahrain & Yemen are on fire.
BUT, BUT, BUT BUT BUT! - the market closes green today - Hooray!
The "miracle ingredient" has been added...one so powerful that you don't need to worry about Saudi oil disruption or our country's 3rd largest lender being brought to it's knees....CURRENCY DEBASEMENT!
Hooray! let's hear it for currency debasement!...we don't need no stinking oil, or anyone else to lend us money...We can just print as much as the world needs...oil, no problem..we can just print money...money? no problem we can just print some!
Carry Trade returns!
Good game America, thanks for coming out!
Long live these United States of Scamerica.
But it's up big in my-personal-mortgage-adjusted terms.
Balls. That's gonna make the Amalfi weekend house annoyingly expensive...
Please clarify - Is that the weekend of April or July? Of 2011 or 2012? It's so hard to keep track these days.
I booked a week trip to New York for April. This does come at a good time :)
This just in: European Debt Crisis <--- Look over here!!!!
Look where? I can't see with all the smoke in the room.
[cough cough]
Don't bogart that...joint...my friend...pass it ooover...tooo me...
Fight fire wit fire, mon.
Puff the Magick Dragonnnn...etc.
ORI
Puff, puff. "Oh wow man. Look at that meltdown. The colors are beautiful. Hey man, don't bogart!!"
What EU crisis??? I don't see through the nuclear smoke!
King Rahrah!!!!!!!!!
Indeed. Long live the new carry-funding-currency king. LOL
Perhaps now Timmah and Ben can stop pretending they believe in a strong dollar policy... I mean that is getting ridiculous.
Double speak has never sounded so [drool] goood [drool]. Brains....braaaains!!!!!!!!!!!!!!!!!!!
The Positive Carry must go on...
http://www.yachtforums.com/forums/trinity-yacht/1812-trinity-yachts-142-positive-carry-ex-burna.html
The hammer of the gods...will drive our ships to new lands....
Using this handy ruler I have determined that ultimate support for this instrument is zero!
On a long enough timeline
the exchange rate for
every currency drops to zero.
+ \m/ to that whole thread!
Amon Amarth - "Twilight of the Thunder God"
http://www.youtube.com/watch?v=P3WJX1cIuY4
On to plan J, or is it K now?
Musical chairs with currencies, where central banks take turns ravaging their own currencies, in concert with their cohorts.
All the markets are but a note in the same Ponzi scheme.
Truth, it's looking more and more like Plan KY for the masses.
ORI
....damn...I was hoping for Astroglide....
"tis but a scratch"
Can't remember, does it track our purchasing power or political respect?
mandrake gone wild
This is like playing a game of 8 card monty with a vampire squid ...
Look over here, no here, there, maybe here, could be there, here?, there, now place your bets gentlemen!!!
Elliott Wave is what you want to place your bets. This shambolic Rob Prechter clown show have been calling for a Dollar rally and stock index decline since the dinosaurs and been getting it wrong probably longer!
Get an Elliott Wave forecast on any currency, Gold, Silver, any Stock Index and do the exact opposite the retards tell you. Though it's hard to tell as they like to say "it could go up... it could go down" because they haven't a fuking clue. When it goes up, even though their main recommendation it was going down, they cherry pick their 'I knew it was going up all along quote'.
Here's the totally incompetent Rob Prechter predicting 2010 would be "a very large decline in 2010.. at least as big as 2008.." This delusional muppet kept predicting stocks and metals were going down throughout 2010 despite 12 months of unfolding contrarian reality
http://www.youtube.com/watch?v=Tz5PrY2gjz0
a drunk monkey throwing a dart at charts could beat the Elliott Wave Theories near 100% failure rate for predictions for the past 14 months ...bet against these idiots Gentlemen
"In other news, the dollar is now one lap ahead of everyone in the devaluation race"
well ... as long as we are winning ... we are winning, right?
Winning the future!!!
USA!!!! USA!!!! USA!!!!! USA!!!!!
#winning
When will the riots in US of Bernank start? Can't be that far away esp if iPads will come short in supply...
and every downtick in the /ES is countered by another $DXY shanking thus promptly correcting the situation...yes indeed it was gorgeousness and gorgeosity made flesh....all hail the ponzi.
"Why, Mr. Anderson? Why do you do it? Why get up? Why keep fighting? Do you believe you're fighting for something? For more than your survival? Can you tell me what it is? Do you even know? Is it freedom? Or truth? Perhaps peace? Yes? No? Could it be for love? Illusions, Mr. Anderson. Vagaries of perception. The temporary constructs of a feeble human intellect trying desperately to justify an existence that is without meaning or purpose. And all of them as artificial as the Matrix itself, although only a human mind could invent something as insipid as love. You must be able to see it, Mr. Anderson. You must know it by now. You can't win. It's pointless to keep fighting. Why, Mr. Anderson? Why? Why do you persist?"
Agent Smith - The Matrix
++++
nice line from Clockwork Orange
I like the next line where he tells Luke he is his father.
He knew it was Fredo.. he knew..
"Oh, man, I will never forgive your ass for this shit. This is some fucked-up repugnant shit." Jules, Pulp Fiction.
http://www.youtube.com/watch?v=RdE8V1sQWVk&feature=related
How does this resolve the mega trade balance deficit with China whose money is pegged to the USD? Will the balance of trade/current account of US improve? Will the debt interest diminish as part of GDP? I would be curious to know what the yen/USD rate does in coming weeks. This de-facto USD devaluation major goal to make the economy more competitive is in total contradiction with the G7 deal done yesterday. Benocide is walking on his head. Its still beggar thy neighbor without end on a mega basis. Spiral on, on the mad inflation Benbernkifaction route we will have QE-3.
more like "bugger thy neighbor."
IIRC our main export to China is waste paper. Answer, ship them old ratty dollars. Run out of them, and ship them container ships full of our waste paper aka new dollars. Should solve the problem. And lets be green, lets nix the cotton/linen mix and use recycled newspaper, for the Earth and some-such.
Last evening's orchestration was Turbo Timmy's baby, not the Barnank's.
Print Reflate Debase....Rinse and Repeat.
Long live Zimbabwe...
This is one of the most infuriating facts about the new American Marxist/Banker party. It is the most important element in their "arbitrage to death everything on the face of the planet" strategy for uber banker bonuses...and S&P bubbles. Theft from the common man...that is all it is.
Speaking of dollars....ummmm.....Tyler? Have we dared to see if Treasury actually has any of them left just now? Seemed to me they were pretty low in inventory last time we checked.
Yeah I have been wondering that since Tuesday morning.
It ain't Marxist, it's hyper capitalistic oligarchy. Don't mix your metaphors. The squid is full of good ole selfish, greedy capitalists. All you now have is a surrogate centrally run government that cow tows to them. This is totalitarian in its working, totally opaque, but still capitalistic in a skewed market. The small guy gets raped. But there are still elections in the US. So kick these bastards out. Period. Grow up USA, and learn your political history. Take the blinkers off and forget your prejudices. Maybe you should all go and re-learn democracy first hand in Cairo and Benghazi and help those guys learn every bleeding thing you guys have forgotten about your own value systems. That were the best in the world...
Ummmm....excuse me....I don't count crony capitalists as capitalists.
And just what the fuck is that supposed to mean anyway?
As for my prejudices, I don't cotton to Marxists, crony capitalists, or Chinese communist fucks, and I don't need to go to Egypt to learn my fucking history. I certainly don't need no hack fuck like you to tell me how to think or what words to use.
Are you a banker by chance? Maybe posting from Hong Kong? Maybe just downwind from Fukushima?
Which is it, you twat?
Seriously. Who should be elected? Both parties are S-cum sucking whores to the Corporations and Oligarcy.
As we have painfully discovered after the 2008 collapse. Laws are only for us commoners.
The question has become who the hell is elected? Our beloved elected officials have abdicated the control of the entire economy to the Fed. Anytime a question arises about unemployment, inflation, Japanese nuclear accidents...they all turn their head and look at the Sage Bernank for exactly what's the US is going to do.
Kucinich/Paul 2012 representing the Progressive Libertarian Alliance
Physical dollars are in extremely short supply. I can't prove this with concrete data, but there have been MANY anectdotal of severe shortgages at banks by depositors (when wishing to make withdrawals) and by others in the chain of commerce.
Digital dollars?
Sky's the limit.
...don't ask....don't tell...
I just want to see Geithner get on TV and make another "The US is committed to a strong dollar" speech so I can get a good laugh.
At this point I cant imagine they even would try to continue that charade.
I think the polite thing to call it now is "consensus building"; it used to be called brain-washing.
....you might be on to something: Ben is actually The Manchurian Cabdidate....programmed to end captlaism as we know it....let me bring that analogy up to date: The Squidarian Candidate.....
$/Yen below 81: the FED cannot even comply with a G7 resolution. They probably had almost no yen left and they likely "sterilized" any USD purchase by buying 10 times as much of $ assets. Pathetic.
Boy, I bet the gold futures are screaming higher during that dollar collapse... fuck me. Screwed again.
Gold futures = Physical gold -----> NOT!
Poor Prechter, must be in a fetal position somewhere screaming for his mommy
When the DXY falls below 70, What will happen?
Mass hysteria!
http://www.youtube.com/watch?v=O3ZOKDmorj0
Luca! you of all people asking a rhetorical question. It sleeps with the fishes.
ABC will air a "Dancing with the Stars" marathon and nobody will notice the dollar has collapsed.
60
These words from George Jones seem appropriate re. the global race to the bottom...
"Well, the race is on
And here comes pride up the backstretch
Heartaches a-going to the inside
My tears are holding back
And tryin' not to fall
My heart's out of the running
True love's scratched for another's sake
The race is on and it looks like heartaches
And the winner loses all."
http://brillig.com/debt_clock/
http://nationaldebtclocks.com/japan.htm
I'll see you George Jones and raise you a Prine:
Some humans ain't human
Though they walk like we do
They live and they breathe
Just to turn the old screw
They screw you when you're sleeping
They try to screw you blind
Some humans ain't human
Some people ain't kind
+1 for the Prine reference.
Think I'll dust off some "Diamonds in the rough" when I get home.
Nice one!
Never let a far-eastern apocalyptic crisis go to waste.
- Tyler
"On a real, not nominal, basis the S&P is now down 2.3% expressed in constant dollar purchasing power terms."
Yes, but you are looking this with a glass half empty viewpoint.
If you bought the SP you almost caught up with inflation.
I mean imagine, God forbid, if you had kept it in the bank.
-
mesmerized
uh... icon
uh... yes master
uh... i am sheeple
That's the spirit! Just have to look on the bright side of life. Thank you Eric Idle.
Some things in life are bad
They can really make you mad
Other things just make you swear and curse.
When you're chewing on life's gristle
Don't grumble, give a whistle
And this'll help things turn out for the best...
If life seems jolly rotten
There's something you've forgotten
And that's to laugh and smile and dance and sing.
When you're feeling in the dumps
Don't be silly chumps
Just purse your lips and whistle - that's the thing.
For life is quite absurd
And death's the final word
You must always face the curtain with a bow.
Forget about your sin - give the audience a grin
Enjoy it - it's your last chance anyhow.
Life's a piece of shit
When you look at it
Life's a laugh and death's a joke, it's true.
You'll see it's all a show
Keep 'em laughing as you go
Just remember that the last laugh is on you.
Ring a ring of Fiat...burn the shit to the ground.
We'll all go down together.
A massive trigger pull, this dollar breakdown. All signs point to some inside knowledge of a slate-cleaning event. Bum-bum-bummer's absence is not by accident, but by design.
ORI
http://aadivaahan.wordpress.com/2011/03/17/archetypal-astrology-from-cathartes-aura/
Thanks ORI.
I have had this thought about sun spots and the moon and electro magnetism and gravity...Well, the moon is pulling the oceans, and we know that there is water in the crust underground, so when the water gets pulled, then the plates move. Also, with the solar flare that hit, and with many more to come I will add, there is a lot of energy that is bouncing back and forth between the earth and its satalite. The earth and its iron core is a lightening rod! Electro magnetism trumps gravity, and gravity pulls the oceans around, so this is all being multiplied and multiplied.
I feel like all the Black Swans are ruining our chance to get our water and our metals pulled around in our bodies. I just want to dance. Party on!
...into the blue again. After the money's gone...
Wow! Eric Idle and David Byrne in two almost-adjacent posts. Alfalfa, can you use the word "isthmus" in a sentence?
Isthmus be my lucky day.
well, you have to give Bennie Boy and JPM their props here....
they have taken the dollar to the 2011, and
manipulated the gold and silver markets so they not only aren't sending the world screaming to gold/silver for safety, but...
they aren't even at their highs for the year!!!1
Now that is FOUR STAR MANIPULATION!!!
Now that is using the peasants' money well!!!!!
totally agree
gold should be well over Sinclair's $1,650 by now
Enter the decade of no growth.
The corksuckers at The Fed will print like mad to give the appearance of growth.
I called it last night during The Intervention: EUR/JPY took the brunt of the surge, relieving impact on the dollar.
Remember, bitchez, it's a race to the bottom. Bernank wasn't about to give away the farm :-)
Dollar needs to be managed lower ahead of the yen mania. It will appear to correct. The real problem as always will be the 'next leg' of the oil and gold move to reflect the devaluations in fiatville.
If it's $200 oil and $5000 gold, well, little embarrassing.
Ben ain't sweatin' it! And he is a Doctor, so.....you know. It's all good! It's all good.
[Sigh]
I'm taping Benjamins together and rolling 'em up. It'll be cheaper than buying TP soon.
That's ghetto dollas right there bitchez. Rock mo'fuckin bottom G.
In related news...weeping TEPCO Managing Director Akio Komiri due to take a new job as Fed Spokesman
Long term forecast
http://www.readtheticker.com/Pages/Blog1.aspx?65tf=139_us-dollar-currenc...
Charles Nenner
http://www.readtheticker.com/Pages/Blog1.aspx?65tf=134_what-does-charles...
dollar down
blood pressure up
Fan, meet shit.
Shit, this is fan.
Well WHO the hell ever looks at real S&P returns ? All you see on CNBC is the nominal.....the only time "real" return is EVER mentioned is when they talk about gold...."well, you know gold would have to be over 2000/oz now to equal the 1980 high of 850, so today's 1400+ dosen't really mean anything".....
AND in the next fucking breath they will go on to pump the DOW and S&P numbers with star struck eyes.....
Puchasing power, how does it work?
It means in today's terms, you be tryin' to make a dolla outta fitteen cents.
I wish someone interrupted Ben's
normal BS on preserving the dollar and said:
"Purchasing power, how does it work?"
It would be hilarious
The S&P really needs to be adjusted for lap dances.
You bet yer bottom dollar. Seriously. Cause soon that dollar ain't gonna buy you squat
This is what happens when you let joos control the money supply.
I guess even a mild strengthening of the Dollar will tank stocks. Soooo- slight dilemma - should we look like money grubbing turds and weaken the Dollar against the Yen a few hours after a public commitment to allow the beleagured country to breathe? Or - Not.
Hmmm... tough call. Maybe let the Yen weaken a bit for a half hour or so . Then let the dollar slide into the close. In any event currency trading seems to die in the final hour .
Update: underway
Gotta tip my hat to the engineers who built the warp core in the Eccles building...not even breaking a sweat!
The DXY broke that solid rising trendline support that had proved so formidable since 2009 with barely any resistance at all . What's stunning is that this has occured during a serious bout of risk aversion and , moreover , without any major catalyst . Economic data from the US has been moderate ; or at least not disastrous .
I'm actually quite stunned .
Agreed. Between Japan and Libya the dollar should be skyrocketing if it were holding to historical norms. I don't see how this can be viewed as anything but a fundamental paradigm shift of the global perception of the US Dollar as a risk haven. In this sense, the US Dollar has ceased to become the world's reserve currency, the unwinding of so many US Dollar-denominated transactions and trade relationships is all a technicality at this point.
It certainly appears to be an important paradigm shift , and certainly not an unreasonable one . Although if you subscribe to Elliott the DXY looks to have either completed , or is in the process of concluding , a fifth wave down from the June 2010 high so perhaps we could see a correction over the next few weeks and months . Doesn't change the fact that the Dollar looks set for a lengthy slump . A Euro implosion ( not a far fetched scenario to be fair ) could change things however .
Does this mean my Green Stamps aren't good anymore?
Oh wait...
mo money, mo problems
Yea, yea. But besides all of that, what's really going wrong, hmmmm?
True. With our utopian leader at the Fed we can all go to sleep and cash in at Dow 136K
Check out the 1 year chart here:
http://www.advfn.com/p.php?pid=qkchart&symbol=FX^USDCNY
The DXY has nothing to do with "constant Dollar purchasing power terms". If the DXY goes up real purchasing power in the US doesn't rise. The opposite isn't true neither.
Is this like the cost of bacon and coffee doubling not really costing me more money?
If I buy less gas my cost will be the same but my car will magically get 10 MPG more type of thing?
That is absolutely true. A much better measure is the price of dollars in gold... or silver... or eggs, chicken, lumber, steel, aluminum, copper, milk, gasoline, etc.
It is quite possible, perhaps even likely, that the price of all goods in dollars will rise by 10,000,000% without the DXY varying more than 25% the whole time... as "governments gone wild" compete to debase their currency faster.
The DXY is somewhat relevant to the end of "reserve currency status". When that happens, expect a major dislocation for anyone invested in fiat US style.
Yesterday morning, I wrote a post that got me a lot of catcalls:
http://gonzalolira.blogspot.com/2011/03/i-think-today-is-day-dollar-brea...
Today—even with massive and concerted efforts by the G-7 central banksters—the dollar index broke through November's lows, with the next stop looking like it'll be Oblivion.
All I have to say is this:
TOLDJA!
GL
Nice call. Too bad so much of your content is behind a paywall. Do you actually make more money with that than you do from advertising?
read your article yesterday with interest. it was a good call, and oblivion may be next. i'm more in the slow wreck camp but i believe the destination is oblivion.
Knowing how difficult such calls are, I tip my hat. However, we aren't quite there yet.
Personally, I look forward for the dollar and all fiat currencies to collapse. The longer the world is stuck on this insane fiat, fake, fraud, fiction, fantasy, fractional reserve system, the longer the predators feed on us all, and destroy wealth and productivity.
I'm 100% in gold and silver (well, 99.8%) in preparation for that event. I'm more than ready. I'm anxious.
Unfortunately, those predators have a lot of tools, and may be able to delay once more. Maybe.
I had no doubts.
James Turk "It will shock the world" and others have been saying the same thing for the last few weeks. The sudden crash of the USD will shock the world, says Turk.
There does seem to be indications the DXY can go into free fall if it goes through the last two support levels. We seem to be going through those. I think the last support level is 71-72, after that -- cliff.
inadvertent repeat.
inadvertent repeat.
inadvertent repeat.
Your Goverment are traitors.(USA) They allow this "Creature" the "FED" to prey on the very people who they are paid by, the people (citizens) need to kick the fucking Gubberment out of the Fucking Buildings,They the Tax payers have paid for.
HOW FUCKING MUCH CAN YOU'S PUT UP WITH.!!!???????????
kICK THE FUCKERS OUT.........Revolution Time.
Agreed.
75.55 DXY
worthless...
I see 75.537 on Netdania...Hmmm...
How bad a stink can Benny boy create in the bathtub? So bad that even the Euro - which by any rational analysis will probably not even exist in a few months/years - is soaring and smells like a rose. So bad that the currency of a nation devasted by the worst calamity to hit a major city in modern times - soars and smells like a peach.
Thats how bad a stink he is capable of letting off in the hot tub. Best move to the other end of the tub - or better yet leave the hot tub and go smoke cigars in the men's lounge.