[KarlInOhio]

Will Obama and the Dems do this to 401ks and IRAs here? The proposal was floated during the XXX-42 administration to have a "one time" 15% tax on retirement accounts.

[Rusty0604]

George Miller and other Dems are proposing seizure of our 401(K), of course for our own good.

[2banana]

Are they crying yet?

Maybe a good idea to take ALL money out of 401ks and IRAs (with penalty) and buy some gold...

[Old Professer]

Dow down $297 now, crude at $67.70; 2nd installment time?

[JasonC]

This has set off a dollar spike and a huge sell off in all the "submerging markets", world-wide.

If the best banks in the US can barely borrow at double digit rates, dodgier governments across the world aren't going to see a drop of capital.

Hungary raised its rates 3% to defend the currency. Pakistan is in talks with the IMF about a loan, to avoid a default. The Russian stock market is trading at a PE of 3 and foreign investors have withdrawn $65 billion since the Georgia war. The BRIC countries - Brazil, Russia, India and China - are all off 55% at least, with Russia more than that, from their highs. The commodity smash has spread to them.

Eastern Europe saw 40% money supply growth per year in the boom, and is now crashing, as another bubble. Turkey also on the ropes. South Korea, the currency is dropping like a stone despite government bank bailouts akin to those in the developed world.

Everyone following populist anti-financier or anti-western policies is going to be completely shredded. Meanwhile, the dollar has soared 25% against the Euro and Pound since the spring, and even more against the softs.

All of it is a sign that safe dollar denominated assets are the one place of safety, and demand for dollars is soaring, not collapsing as the inflationary end of the world script called for. Every bet made against the US over the last 3 years is crashing and burning.