[FoRK] Euro Bonds etc.

Damien Morton fork at bitfurnace.com
Tue Jan 17 06:24:17 PST 2006


Anyone been tracking the return rate on Fork tips?

> Bill Humphries wrote on 1/16/2006 2:02 PM:
>>
>> On Jan 16, 2006, at 1:43 PM, Lucas Gonze wrote:
>>
>>> What's March 20th?
>>
>> 1. Google newsing around, it's the start of the Islamic Republic of 
>> Iran's budget year.
>> 2. Third anniversary of the invasion of Iraq.
> 
> March 20 the Petroeuro if born, when Iran starts selling oil for Euros. 
> The dollar becomes completely irrelevant and thus worthless to anyone in
> Europe/Africa/Asia. You'd have to want to buy something made in America
> to want dollars. Right now everyone needs dollars to buy oil, people
> want oil. The only things I own made in America are the things I've made 
> myself. Much of my food is from South America, even most of the labor 
> around here is Mexican not American.
> 
> China, Japan, and everyone else are having to issue almost daily denials
> that they are dumping dollars, because you just cannot hide transactions
> that big. Buffett and all the other billionaires are already out of the
> dollar or are fully hedged.
> 
> The only other option is a full scale war with Iran, which King Bush
> cannot even start without forcing gas to $10/gallon, and cannot win
> without using nukes to glassify the entire middle east.
> 
> Both have just about the same effect on the dollar. Complete meltdown as
> Bush prints money 24/7. Not that GM, the boomers, and other factors
> won't bring this about on their own. Our economy doesn't have one 
> problem, it has ALL the problems.
> 
> To what others said about returns, this isn't a long-term investment
> it's to get most assets out of the dollar for use later. Ideally,
> an E*trade type account where I can do most things
> stock/option/bonds/CDs, but in Euros.
> 
> The problem with "just but the euro funds" here is that one of the first
> things governments in currency "situations" do is seize all assets in
> other currencies for their own use, and prevent you from making any new
> conversion out of the junk currency. i.e. all those funds will be taken
> from you. If you buy gold for example, you need to actually HAVE the
> gold in your possession, buy it with cash from many brokers, etc.
> 
> Albert S. wrote on 1/16/2006 3:47 PM:
>> One problem with Eurobonds is that interest rates in
>> Europe are very low. 
> 
> Yea, but if you adjust for the dollar, they do very well. And soon, that
> 10%/day net interest while holding Euros will seem good.
> 
>> Of course, the very best hedge against the Iran
>> situation is oil and oil stocks. Americans can buy
>> those in a basket through XLE.
> 
> *chuckles* don't bet on that one. Most of the world wants the American
> oil companies to get the hell out, and they are running out of people
> foolish enough to work for them and get shot at and blown up. China has
> neither problem - oh, and they just depegged their currency frmo the
> dollar in preparation for the dollars comeuppance.
> 
> Good thing that guy Gore didn't get elected, oh wait...
> 

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