"When misguided public opinion honors what is despicable and despises what is honorable, punishes virtue and rewards vice, encourages what is harmful and discourages what is useful, applauds falsehood and smothers truth under indifference or insult, a nation turns its back on progress and can be restored only by the terrible lessons of catastrophe." … Frederic Bastiat


Evil talks about tolerance only when it’s weak. When it gains the upper hand, its vanity always requires the destruction of the good and the innocent, because the example of good and innocent lives is an ongoing witness against it. So it always has been. So it always will be. And America has no special immunity to becoming an enemy of its own founding beliefs about human freedom, human dignity, the limited power of the state, and the sovereignty of God. – Archbishop Chaput

Trader Dan's Work is NOW AVAILABLE AT WWW.TRADERDAN.NET



Tuesday, April 12, 2011

No wonder the Dollar has no friends!

The following article from Bloomberg detailing the national deficits of the major economic nations as a percentage of GDP illustrates the hurdle that the US Dollar faces on the foreign exchange markets. Debt, debt and more debt as far as the eye can see and the lack of resolve at the national level to effectively address the problem - throw in a mix of easy money policies by the Federal Reserve and no wonder the Dollar cannot catch much of a safe haven bid on a day like today.

U.S. Deficit to Rise to Largest Among Major Economies, IMF Says


By Sandrine Rastello - Apr 12, 2011 7:00 AM PT
 
The U.S. is set to have the largest budget deficit of major developed economies this year and should narrow it now rather than face tough adjustments in the next two years, the International Monetary Fund said.
The U.S. shortfall will reach 10.8 percent of its gross domestic product this year, ahead of Japan and the U.K., the Washington-based IMF said in a report released today.

You can read the entire article here:

http://www.bloomberg.com/news/2011-04-12/u-s-deficit-will-expand-to-largest-among-major-world-economies-imf-says.html
Posted by at

1 comment:

  1. Buffalo River Chamber of CommerceApril 12, 2011 at 2:58 PM

    More like easy money and outright fraud at the Fed.

    http://www.rollingstone.com/politics/news/the-real-housewives-of-wall-street-look-whos-cashing-in-on-the-bailout-20110411?page=2

    What could be more ridiculous than the secret loans that are surfacing every day? I think it is reasonable to expect some tolerance for poor judgement, it is something else entirely for the Fed to claim one thing and do another as above.

    Add this lack of trust to the lack of competence, and the dollar is doomed. Surely this is a sign of a failed empire.

    MD

    ReplyDelete

Note: Only a member of this blog may post a comment.

Subscribe to: Post Comments (Atom)