Quote:
Originally Posted by The Gaijin
Is any of this run up in share prices because of inflationary fears?
If US$1.00 is worth $0.50 in a few years - XYZ Corp. shares could go from $100 to $200 and have the same underlying value..
A lot of pensions and bonds and promises the government has made in the past few years, and it may be cheaper to pay off with cheaper money.
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Now you are getting it.
The Brit Lb is 1.69 today
The Euro is 1.4X today
The Yen is at 95.XX today up from a low of 93.XX
Which shows that the USD is in decline. Also consider last weeks 5 year note auction with a bid to cover ratio of 1.92....US debt is not selling well.