Unless there is a QE3

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Unless there is a QE3

Postby PigBloodCake » 16 May 2012, 10:10

Get ready for a USD pop that'll definitely destroy your portfolio.

AUD now lower than parity with USD (so much for that China roaring....more like roaring 20s before the you-know-what).

Could this be another rinse, lather, and repeat (QE)?

Come on Fisher....do you magic....force the bald head to scrap more QEs which don't do shit except to bankrupt savers.
Life is a bitch and death is her sister.

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Re: Unless there is a QE3

Postby PigBloodCake » 04 Jun 2012, 10:53

PigBloodCake wrote:Get ready for a USD pop that'll definitely destroy your portfolio.

AUD now lower than parity with USD (so much for that China roaring....more like roaring 20s before the you-know-what).

Could this be another rinse, lather, and repeat (QE)?

Come on Fisher....do you magic....force the bald head to scrap more QEs which don't do shit except to bankrupt savers.


No QE3 so far. There was a hint that there won't be another QE due to the election.

I did warn you people. NT now more than $30 for $1 USD.

China's own QE is practically worthless :lol: :lol: :lol:
Life is a bitch and death is her sister.

I got a fever and the only prescription is more cowbell.
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Re: Unless there is a QE3

Postby headhonchoII » 04 Jun 2012, 11:26

These things are kind of hard to predict. Japan has a really strong yen but it's economy is not in good shape. The USD is getting stronger but the economy is only sputtering along while debt climbs. Even with QE3 I would expect the USD to get stronger not weaker though, as flight to safety continues. The interesting thing about QE1 and QE2 is that most of the money did not actually make it into the real world, it just propped up balance sheets or boosted stock and asset values. There does seem to be a direct correlation between QE and stock indices but not with currency valuation.

The Taiwan NTD is getting stronger relative to many other Western currencies, but it has a limitation due to its export oriented economy. The Franc was devalued overnight to keep a type of parity with the Euro.

The only thing I can recommend is diversification, but I would stay away from certain currencies for sure, primarily the Euro and the Aussie dollar!
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Re: Unless there is a QE3

Postby dan2006 » 04 Jun 2012, 12:40

headhonchoII wrote:These things are kind of hard to predict. Japan has a really strong yen but it's economy is not in good shape. The USD is getting stronger but the economy is only sputtering along while debt climbs. Even with QE3 I would expect the USD to get stronger not weaker though, as flight to safety continues. The interesting thing about QE1 and QE2 is that most of the money did not actually make it into the real world, it just propped up balance sheets or boosted stock and asset values. There does seem to be a direct correlation between QE and stock indices but not with currency valuation.

The Taiwan NTD is getting stronger relative to many other Western currencies, but it has a limitation due to its export oriented economy. The Franc was devalued overnight to keep a type of parity with the Euro.

The only thing I can recommend is diversification, but I would stay away from certain currencies for sure, primarily the Euro and the Aussie dollar!


Thats why the companies in the USA are salivating at the thought of another QE.

So they can keep hoarding cash while laying off workers and giving themselves more bonuses. Because heavens knows they deserve them, those poor CEO's.
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Re: Unless there is a QE3

Postby Chris » 04 Jun 2012, 14:51

Queen Elizabeth III?
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Re: Unless there is a QE3

Postby PigBloodCake » 04 Jun 2012, 16:24

Chris wrote:Queen Elizabeth III?


Being facetious eh?
Life is a bitch and death is her sister.

I got a fever and the only prescription is more cowbell.
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