2010-09-23 — financialsense.com
On Sept 15th, Brazil’s Finance chief Guido Mantega vowed to defend the country’s exporters, joining other governments worldwide that seek to weaken their currencies as a way of speeding up an economic recovery. “We will not sit on the sidelines watching the game, while other countries weaken their currencies at the expense of Brazil. We’re going to take appropriate measures to stop the real from appreciating,” he declared in Rio de Janeiro.
This is really almost hilarious -- a true "tragicomedy." One certainly gets a picture from this piece on how central banks 'round the world are suppressing their own currencies in a vain effort to boost the dollar, which obviously really really wants to fall. And of course, the Fed wants it to fall -- but not too fast. So one wonders when the "jig will be up", and the grip of the world's central banks on their own currencies will slip, causing the dollar to plummet. This can't go on forever. And what cannot, won't.
The one sure thing is: it can't hurt to accumulate gold and silver in the meantime.
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