Top expert on currency: Dollar is headed for a "CATASTROPHE"
 

SHARP-tongued Mahathir Mohamad, scourge of currency traders worldwide, has said the US dollar is headed for a 'catastrophe' and will never regain its old strength.

The former Malaysian leader said Washington's bulging deficits would ultimately sink the greenback. 'The catastrophe will come one day because even the most powerful country in the world cannot repay loans amounting to $7 trillion (£3.7 trillion),' he reportedly told an Asian business conference.

The 79-year-old - who pegged his country's sinking currency firmly to the dollar when Prime Minister in 1998 - said: 'It is certainly on the way to collapse.'

Mahathir advised the audience of executives to steer clear of accepting the dollar as it was unstable, and likely to drop further.

http://www.thisislondon.com/news/bus...399280?source=

and we are supposed to do what? :1orglaugh

sucks for all non-us affiliates :(

Protect yourself partly from currency losses using options

Propoganda from anti US parties. The dollar will be just fine, they are trying to divert your $ elsewhere. Keep it in the US people.

Dollar is 50% what it used to be against the Euro.

Pull your head out of your ass.

:1orglaugh :1orglaugh

haha.. this must be a joke.
maybe you don't know that half of the investitions in EU are made by former US companies, investment funds etc.
if they want they can leave EU ass naked !

Some people actually believe that the US currency is dropped because of some big conspiracy against the Republicans and George Bush. Give me a fucking break. They should be teaching real economics in schools instead of 12 years of literature and grammer. :1orglaugh

bagdad bob switched side ?

the sky is falling...


.

I say the dollar will get stronger in a short run, buy green today, sell in a few wekks / month....

I'm sorry, do you believe a guy named "Mahathir Mohamad"?

:1orglaugh :1orglaugh ... :1orglaugh :1orglaugh

Sorry not sure what is funny about the truth.

The 79-year-old - who pegged his country's sinking currency firmly to the dollar when Prime Minister in 1998 - said: 'It is certainly on the way to collapse.'

pretty fucking stupid move don't you think?

this jit bag is talking out of both sides of his mouth.

he probably is planning a big move in the us dollar market and he is setting up the deal and the market.

thanks for the money suckers!

:1orglaugh

I get less than 50% now per signup in Danish Kroner than I did when I first started. With the falling exchange rate and lowered payout by most programs.
It really sucks I am all for the Dollar being strong.

Graph for the last 5 years US$ against Danish Kroner:
http://www.see-sig.com/kurs.gif

oh well... we can be like all the other countries and accept money and not pay it back ... its our turn now LOL

yeah, thats it :1orglaugh
http://finance.yahoo.com/q/bc?s=USDEUR=X&t=1y


World (and the elite) are bailing on Dollar (Bush) and you should too.

Pretty much :(

Maybe it's time to focus more on non-US sponsors.

Why shouldn't I?

Its got nothing to do with any conspiracy. The reason the US currency is weakening IS because of George Bush and his governments policies. That is a FUCKING fact, take it or leave it.

Who do you think turned a surplus into a decific. George Bush.
How did he do it? Mostly its to do with the HUGE cost of ongoing war and the "war against terror".

We are all in the same ship... if dollar sinks, everyone else will drown too...

No America will drown....everyone else will take a hit cash wise then buy America!

MOVE

:1orglaugh :1orglaugh

It's cool. We don't mind. If the rest of the world is too stupid to buy low sell high, let them. I think it's amusing that they're buying high and selling low even though they are looking at it through the eyes of expert malaysian economists named Mohamad.

Mahathir Mohamad is a fascist. He doesn't like the idea of free markets.

An economic catastrophe won't only be caused by the dollar. Other currencies have major problems and throughout Europe there are highly leveraged deals that stress the entire system.

Read the bottom of the article: Considering 40% or more of our debt is owned by foreigners, a major decline would adversely affect our investors. Plus, the lower the dollar goes the cheaper our exports become (Bush wants this). This means other countries' currencies appreciate making exports more expensive (lowering their GDP), which is why China has continued to peg their undervalued currency to the dollar to maintain their manufacturing exporting dominance.

Regardless, the dollar is the reserve currency of the world, the Federal Reserve mosts controls the BIS (the central banker's bank), who's ungodly reserves are now held in the IMF's SDR (1 = 45% USD, 29% EUR, 15% YEN, 11% GBP). And of course the IMF devours smaller economies. It's survival of the fittest and I'm sure Wolfowitz will continue this at the World Bank.

Traditionally we could just go to war with the creditors and destroy them, the biggest being Japan, China, and the UK. We will eventually reach a bifurcation point which will either result in global financial chaos as we fight (more) wars for resources or adapt to radical rapid changes (if technology can produce our energy needs). But that's a few years off.

It still is a guarantee that the EUR/USD will make all time highs this year.

not bad for a first post :thumbsup

You're a crappy graphic artist charging USD 49.95 for a logotype. What do you know of economics?

Oh, get a clue....

And that nazi midget from malaysia is supposed to be some kind of expert?
Ask Boeing and all big ticket manufacturer if a high dollar is a bad thing.
Ask manufacturer of small ticket items in the US who are getting new contracts because imports are becoming too expensive as the dollar is low.
Ask the Caribbean nations who are seeing a shift from Europe and Asia to their market for manufacturing low and medium ticket item if a low US dollar is bad.

I know Dumb Jedi cannot grasp the big picture, but this is borderline OCD

Enlighten me, oh MR god of bank reserves.
Of course you can't, you came in for a sig spot. You have no idea what is goin on around you.

The funniest part of this thread is that you genuinely believe you do. Your original post alone shows that any attempts to 'enlighten you' would be wasted energy. :1orglaugh

no you cant just "buy" america, you think these companies are stupid? they will just sell the companies in a different currency.

Ya the dollar is worth shit.....send them all to me I will give you box tops of your favorite cereal .....Now that is a deal!!!!

Joke? Na.. it's no joke! :winkwink:

This is not something new and has been happening for several years now. Foreign corps and other nations had been investing in the US market at a high level. This took a dramatic downturn within a few months in.. think it was late 2002 when US foreign investments funds dropped to around 10% of the then "norm". Since then, there has been some increase, but not near on the levels that existed previously.

Add the enormous debts which are ongoing in trade imbalances and other areas and it does not take any expert to see there is massive trouble ahead.

BTW.. The comment that half EU investment is made by US corps is nowhere near any truth. If anything, forgetting just the EU, the US debts to other countries is more of a concern.

The comments about "it sucks for non-US affilates" is not really valid either, cos US folks will end up paying the price as well - it's all in the goods imported and the "real cost" of these cheap products after financial/dollar conversions are added.

Bottom line... It ain't good for anyone, whether they are in the US or elsewhere cos the ripple effects are just massive, - even forgetting other possible action if the dollar decreases further. Example - anyone think OPEC will want to continue pricing oil in dollars?:-) They have been patient so far, but there can come a time for change.

It's a damned dangerous time - mainly for the US, but many other countries as well.

We need another Robert Rubin to formulate fiscal management policies. Under Mr. Rubin (Clinton administration), the US actually enjoyed a SURPLUS.

Well... there can be a nice time to buy some of the US - but don't think we reached the rock bottom price yet :winkwink:

Example... thinking real estate. I'd love to buy some shit using any other currency... eg. Pounds Sterling, Euros or whatever.. and be paying dollar price :-) It's even an attractive proposition right now, but probably get even better value shortly.

But on corps - you are right. Just change the scenario around and start thinking in other currencies with stable values. (Much as in the OPEC comment above).

BTW... In adult biz, we got the first processor in the case of Verotel who have introduced multiple currency payment options. Verotel are not going to be alone on this and others will follow. It makes sense when ya earn roughly extra 20% in profits simply by currency values.

OPEC leaders that try to change the Petro Dollar Standard will be met with swift and blinding regime change. :2 cents:

Why not. Some believe a man named GEORGE BUSH ....

[QUOTE=samsam]

Who do you think turned a surplus into a decific. George Bush.
QUOTE]

LOL ... you will get a few gop here saying that the surplus never existed ....

Don't know ... but I am sure that the deficit sure does ... :1orglaugh :1orglaugh

I thought that's what may be the immediate reaction! :1orglaugh

Tho shit... it's their oil and is not just one country involved and, other countries *may* at some time be in agreement if the dollar continues to drop tho it's not even attractive prospect because of the ripple effect. It's too big a ripple :-)

But.. it *could* happen over time and be phased in or some other mechanism put in place to kill the volatile currency fluctuation which is no good for anyone.

:1orglaugh :1orglaugh Dude, for fucks sake.... I have a degree in economics. And yeah, think real hard about it and you´ll understand I am not trying to get any sig impression.... :1orglaugh

Greatest sig ever. :thumbsup

The sky is falling.. LOOK! LOOK!

Time to find sponsors that pay in EU dollars. I know for fact that the shitty US dollar has cost me 30k this year.

Time to open a Euro acct :)

He promised not to hold back and tell his opinion when he left his old job. I'm liking that guy more and more.

That sucks.