[SeekAndFind]

This article was originally sourced from THE INDEPENDENT

[montag813]

Gold up like a rocket this morning. $1.042.

[chainsaw]

I can't say I blame them the way zerO and the democrat congress has been approving spending without reading the bills.

A gross intentional or conscious neglect of duty in my book

[aught-6]

In layman’s terms, what will be the effect of this change? Will it further weaken the dollar exchange rates?

[Cheetahcat]

That is how the Kuwaiti's keep their Dinar so strong.

[Former Proud Canadian]

I think they have a long way to go with this. The Chinese currency, last time I checked, is not freely convertible and is pegged by the government. Until the Chinese freely float their currency and allow it to be freely traded, this dog won’t hunt.

[WackySam]

Short term, probably more pain.

Long term, it may just be what this country needs.

[Darnright]

Bump

[uncommonsense]

I don't blame the international financiers. Read this CBO report The Long-Term Budget Outlook. Page 18, Figure 1-2, shows that we are under water now and forever. From a footnote on the graph:

Spending in this figure excludes interest payments on the debt; hence, the gap between federal revenues and noninterest spending shown here does not equal the projected surplus or deficit.

Also read this speech from the Dallas Fed President, Richard W. Fisher, May 2008: Medicare Unfunded Liabilities worse than Social Security - 2008 Dallas Federal Reserve Speech. He shows we have an unfunded liability of $100 Trillion (that was before we kicked into high gear with gov spending).

No matter how we proceed (gut congress, rescind entitlements, slash taxes, etc.), we are so profoundly deep in debt - personal debt and public debt - that it will take a long-running perfect storm of wildly positive conditions and outcomes in order to remain solvent as a nation.