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Old 02-14-2003, 10:09 AM  
Big E
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Join Date: Mar 2002
Location: San Diego, CA
Posts: 935
Some other points of note:

The US dollar is weakening, and typically that's good for us - we import less and export more.

However, keep in mind that foreigners buy most of our Treasury debt, and finance that enormous trade deficit of ours.

With the dollar weakening, they're losing money on the exchange rate and they're going to stop investing in the US. When that happens, the US is forced to raise interest rates, and BOOM, there goes the housing market - the cornerstone of our economy right now.

I don't think people realize how precarious things are right now. :-/
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