Replies

"Where’s it going to run?"

Germany was the place along with UK. Now Deutschland is suffering the contagion.

Switzerland is too small and already has capital controls (pegged to the teurdo).

Japan was a haven that had to intervene to protect the yen (to no avail).

Australia? Canada? Too small.

China? They don't call it Communist China for nothing. The yawn is not even convertible.

How about the ruble, er rubble, nuff said.

U.S.A.? Always the haven with unlimited supply, political safety and ....................... liquidity!!

yitbos

"China? They don't call it Communist China for nothing. The yawn is not even convertible."

Back around December, 2011, there was a rumor that the Chicago Mercantile Exchange was to begin accepting margin deposits in yuan. Will check up on that.

"U.S.A.? Always the haven with unlimited supply, political safety and ....................... liquidity!!"

True about liquidity, and we'll see "unexpected" amounts of that in the near future, IMO. Either that or the needed numbers of government funding cuts followed by an earlier general and realistic decrease in activity (to balance with real, domestic production). IMO, they'll (either party) eventually chicken-out from the April or May scaring of money from stocks and Europe to bonds (to pressure oil down) and go for inflation to prevent the larger funding cuts. Tourists didn't get much of a break on gasoline prices from the latest round, and government will gobble all of the funny money that is fed to her and more.