Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

A Downhill Run for the Dollar in 2015
Gold-Eagle ^ | 12/17/2014 | John Williams

Posted on 12/18/2014 7:37:48 AM PST by GilGil

"I'll give you a couple of things to look for in 2015. Fundamental economic activity as measured in areas such as retail sales, industrial production, housing starts, payroll numbers and the broadest measure of unemployment—all those numbers are going to deteriorate. The economy is going to head down as we get into reporting in early 2015. Along with that will come renewed expectations of action by the Federal Reserve to accommodate the financial system, particularly the banking system, and the combination of those factors will, I believe, help to trigger a massive decline in the U.S. dollar. As a result of that, we will see spikes in commodity prices, such as oil. We will see a flight to quality in areas such as the precious metals—gold and silver. We will see the stock market and the bond market generally suffer some real selling pressure."

(Excerpt) Read more at gold-eagle.com ...


TOPICS: Business/Economy; Government; News/Current Events
KEYWORDS: business; dollar; economy; ollapse
The dead giveaway that the economy is all smoke and mirrors is that Yellen was very hesitant to give a timetable when interest rates would go up. If the employment situation is booming automatically interest rates should go up. She refused to say when. This is tells me we are in real big trouble.
1 posted on 12/18/2014 7:37:48 AM PST by GilGil
[ Post Reply | Private Reply | View Replies]

To: GilGil

>>the combination of those factors will, I believe, help to trigger a massive decline in the U.S. dollar

Against what?


2 posted on 12/18/2014 7:43:05 AM PST by oblomov
[ Post Reply | Private Reply | To 1 | View Replies]

To: GilGil

An economy and “prosperity” built on borrowed and printed money, with ongoing deficit spending and a minimum of $75 trillion in unfunded liabilities, will inevitably collapse Fed or no Fed.


3 posted on 12/18/2014 7:46:33 AM PST by allendale
[ Post Reply | Private Reply | To 1 | View Replies]

To: oblomov

“the combination of those factors will, I believe, help to trigger a massive decline in the U.S. dollar

Against what?”

That’s my question, as well. Maybe against gold, but the currencies of most our major trading partners look riskier than the dollar.


4 posted on 12/18/2014 7:50:20 AM PST by riverdawg
[ Post Reply | Private Reply | To 2 | View Replies]

To: oblomov

> “Against what?”

Yeah really. It’s a race to the bottom.


5 posted on 12/18/2014 7:50:51 AM PST by Hostage (ARTICLE V)
[ Post Reply | Private Reply | To 2 | View Replies]

To: GilGil
The economy is going to head down as we get into reporting in early 2015. Along with that will come renewed expectations of action by the Federal Reserve to accommodate the financial system, particularly the banking system,

And herein lies the unseen reason for the Cuba deal bringing Cuba's failed economy under the wing of the American banking system and ultimately the American taxpayer who will be responsible for the bailout. Russia and Venezuela are kaput financially and can no longer sustain their ventures in Cuba. The Castro power base will erode without outside money and Obama is proud to provide it for his Marxist brothers.

6 posted on 12/18/2014 7:53:33 AM PST by Don Corleone ("Oil the gun..eat the cannoli. Take it to the Mattress.")
[ Post Reply | Private Reply | To 1 | View Replies]

To: oblomov
A Downhill Run for the Dollar in 2015

John Williams, Hyper-Inflation Coming in 2011

LOL!

7 posted on 12/18/2014 7:55:46 AM PST by Toddsterpatriot (Science is hard. Harder if you're stupid.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: GilGil

The Fed is on a terminal treadmill. They cannot raise rates they are trapped. They will have to continue to print and keep rates low. They have no idea of how to get out of this mess.


8 posted on 12/18/2014 8:24:16 AM PST by Georgia Girl 2 (The only purpose o f a pistol is to fight your way back to the rifle you should never have dropped.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Toddsterpatriot

Williams predicts this every year. He and Kyle Bass should get together and cry on each other’s shoulders.


9 posted on 12/18/2014 8:25:00 AM PST by Dr. Thorne ("Don't be afraid. Just believe." - Mark 5:36)
[ Post Reply | Private Reply | To 7 | View Replies]

To: Toddsterpatriot

Juan Williams is deluded. We are headed for a deflationary depression.


10 posted on 12/18/2014 8:25:58 AM PST by Georgia Girl 2 (The only purpose o f a pistol is to fight your way back to the rifle you should never have dropped.)
[ Post Reply | Private Reply | To 7 | View Replies]

To: allendale

This charade will end soon I fear.

Sep 13, 2015 is a date a lot of “date-setters” are using because it’s the end of a sabbath year and like the last sabbath year (2008) we had a crash, and the sabbath year before that we had another crash (2001).

Figure in Blood Moons and the literal world in chaos with Russia, Ukraine, the Middle East, China bullying it’s neighbors. We may be in for a rough ride.


11 posted on 12/18/2014 8:33:19 AM PST by Roman_War_Criminal
[ Post Reply | Private Reply | To 3 | View Replies]

To: Dr. Thorne; Toddsterpatriot; Georgia Girl 2

The USD permabears believe that we will simultaneously see a dollar collapse against all other currencies and gold in the midst of a deflationary crash.

In their estimation, stocks, bonds, and real estate will collapse while commodity prices (especially physical gold & silver) will skyrocket.

The shred of evidence that they have to predict this set of outcomes is the strong performance of Homestake Mining after the DJIA bottomed out in 1932. The USD was of course taken off the gold standard that year, and FDR and Treasury Sec. Morgenthau engaged in outright manipulation of the gold price, to break the back of the “barbarous relic”...

Many stocks, such as Curtiss-Wright, GM, Bethlehem Steel, and RCA outperformed HM during the same period. The attempt by the Fed and Treasury to counteract deflationary pressure with monetary and fiscal policy produced a strong rally in stocks, just as it did in the hyperinflations in Germany and Hungary.

Look at leading Russian stocks over the past few weeks- strong rallies as the Rouble was collapsing. Equities tend to be a better store of value during reflation attempts.

My view:

The permabear logic makes no sense.

During a deflationary downdraft, why wouldn’t one want to be long bonds and short gold?

During the attempted reflation, why would one not want to be long equities and corporate debt?


12 posted on 12/18/2014 8:57:29 AM PST by oblomov
[ Post Reply | Private Reply | To 9 | View Replies]

To: oblomov

There is only one indicator you need to follow to know what is coming and that is the BDI (Baltic Dry Index). And its not looking too good.


13 posted on 12/18/2014 9:17:48 AM PST by Georgia Girl 2 (The only purpose o f a pistol is to fight your way back to the rifle you should never have dropped.)
[ Post Reply | Private Reply | To 12 | View Replies]

To: Georgia Girl 2

With cheap oil and low interest rates into the foreseeable future I don’t think this prognosis is correct.


14 posted on 12/18/2014 9:29:05 AM PST by refermech
[ Post Reply | Private Reply | To 13 | View Replies]

To: Don Corleone

The economy is going to head down as we get into reporting in early 2015.
.................
The economy always responds to lower oil prices by increasing. Low oil prices are hard on the oil patch but pure oxygen everywhere else. On the top line they work like a tax cut. On the bottom line they make workers more efficient and increase profits of companies.


15 posted on 12/18/2014 9:55:45 AM PST by ckilmer (q)
[ Post Reply | Private Reply | To 6 | View Replies]

To: GilGil

Well, at least you know where he is coming from: He wants to sell you gold.

Just one more guru who has an idea that he knows the future course of the economy. You can take your pick of all the gurus out there and make your economic decisions based on how good you calculate their predictions are.


16 posted on 12/18/2014 1:56:36 PM PST by wildbill (If you check behind the shower curtain for a murderer, and find one... what's your plan?)
[ Post Reply | Private Reply | To 1 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson