[nicollo]

The exact same argument goes against the dollar shorts: there's been nothing -- nothing -- that's changed over the past year either pulling down the dollar or, especially, driving up the euro. The trade and budge deficit's are unchanged or trending lower. Above all, the fundamentals read U.S.

What's happening is that the Forex is all a pu**y right now, just scared, and reaching for any little thing, cuz it's got nothing good to grab.

Btw, there are too many dollars out there, but it has to be that way since the U.S. is the only live wire there is. That's why the dollar won't strengthen much. But neither will the other currencies gain. When the dollar reserves tighten, and they will, you'll see it first in gold and oil. The amazing thing is that neither of those has broken further. They can't, for nothing but the dollar can sustain them... which gets us back to my original point...

[hugorand]

Buffet reminds of the guy that walks up to a crowded Craps table in Vegas and puts a handful of black chips on the don't-pass line... It's just not right.

[cherry]

"When the dollar reserves tighten, and they will, you'll see it first in gold and oil."

can you explain this to the non-economic mind?

when will the feds tighten the dollar?

and will the price of oil and gold go down or up?