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Originally Posted by The Demon
Indexed, you're right. I'm looking it as a value against gold, which it has done the exact opposite. Unfortunately the USDX doesn't include gold.
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Well, I don't dispute that. However, that is not necessarily evidence for inflation (let alone hyperinflation). It is merely to say that the price of gold has risen.
On the flip side, if inflation were truly a threat, you would see the results in commodities across the board -- which we do not. What we see is that commodities were also part of an asset bubble that has collapsed from their highs.
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No, I understand that debt defaults are causing underlying assets to crash. What i'm saying is, soon there will be a treasury default, which will cause the dollar to crash. Obama and Bernanke are going more into debt to support the current asset prices, but there will be a tipping point where the dollar takes a hit.
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It could come to pass, but... look what happened when the global financial system witnessed the largest credit crisis ever. The dollar soared and global investors rushed to put there money where?? Treasuries.
I'm sorry, but the outrageous claims with little supporting data are not coming from me.
And remember, I stated early on what would need to take place for your scenario to be realized and that at that point the threat would be more on the inflationary front.