Now it’s longtime that we are feeling that America is in financial trouble, but since then there are lot of window dressing going on both by private & by govt, we are pretty much aware of that . The true problem we may see when Obama administration is going to withdraw the stimulus packages. Then we can see the growth that is there is how much the real growth or it is the manipulations of figures. Companies still are going to insolvencies, situation of middle & lower class people are deteriorating day by day yet we see improvement in different economic data. Are those some things we can believe ?
Though USD is improving in figure that we may consider due to EURO factors or better to say European factors , but is there any chance of improving the value of US$ ?
Certainly not that because there is looming debt that is hovering around
economy how they are going to escape from that. In this matter we cannot forget
the huge fiscal deficit that is contributing a large portion of this debt which
is unpaid. China now the biggest creditor of US USA
another Asian giant. Like past administration is printing much currency papers
to escape from this debt & fiscal deficit, but is not this process reducing
the value of US $ ? If yes then God knows when we are going to see that ! Japan
Look like in this moment one industry must be very popular in
that is printing industry ! Go &
print money as much as you can. Who cares about the future? America
Actually there is no other way right now, if they stop printing money the economy will go into recession, which is more pain full as more people will be unemployed and related other effects.
So it is hard to say what will be the trigger points for markets but few may be the increase in interest rate, revaluation of their currency e.t.c.
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