[appeal2]

I agree that this will happen eventually, probably sooner rather than later. However, I believe that before this happens, there’s going to be a blow up in the carry trade. This will be caused by an increase in the dollar which leads to a massive unwinding of the carry trade positions and therefore massive short covering. Trillions will evaporate overnight.

[GeronL]

Maybe we can build floating cities on those cargo and tanker ships. Soveriegn ships.

[Hostage]

That’s an interesting perspective.

I would like to hear your explanation, what makes you think the dollar will strengthen.

The carry trade is now propped up by foreigners borrowing ultra cheap dollars. The only way I see the carry trade collapsing is for interest rates here to ratchet up. It’s hard to imagine that because the economy and especially housing are still really awful.

[PeterPrinciple]

I agree that this will happen eventually, probably sooner rather than later.

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We know there are consequences to bad decisions. We don't know when or exactly what they will look like. Houseing bubble did not end like I thought it would.

I am getting more convinced the “year of jubilee” was instituted whether we like it or not.