Devaluation Of The US Dollar







11 November 2010 | posted by: Grace Taylor | No Comment

The 4% drop seen in the US dollar over the last couple of weeks has led speculators to believe that the US faces a very real risk to devalue its currency. This is especially so, as the global currency battles come ranges on.

US Dollar Devaluation Highly Likely

Financial analysts and investors are all running scared as it seems that the federal head Ben Bernanke is determined to go small on any QE2 money pumping with Treasury’s Timothy Geitner urging him on.

Despite Washington’s claims that they want a strong US dollar, all the moves they are taking such as driving down the currency, scream the contrary.

A popular opinion of the world economy is that one will want to own commodities as the global economy improves because this translates to a shortage in the offing.

This same want to own goods is driven if the economy takes a downturn since the government will be ready to print money. This, ultimately, is what is wrong with the entire system.

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