From: "Robert Comer" 

> The issue is that the room for maneouvre has been consumed on every axis -
> there's now nowhere to go.
>
> You can't place more debt, no one wants the equities, interest rates can
> hardly go much higher and the deficit cannot be cut drastically without a
> domestic disaster.  And where's the oil price going?

I can't disagree.

As for the rest, no argument, but please leave out the Christian angle,
that adds nothing to your argument.

--
Bob Comer


"Phil Payne"  wrote in
message news:446998fc{at}w3.nls.net...
>> > That has got to hurt.
>>
>> It would if true, I haven't seen that kind of data anywhere else yet.
> (I've
>> been predicting such a thing for some time, but not because of the bond
>> prices)
>
> The issue is that the room for maneouvre has been consumed on every axis -
> there's now nowhere to go.
>
> You can't place more debt, no one wants the equities, interest rates can
> hardly go much higher and the deficit cannot be cut drastically without a
> domestic disaster.  And where's the oil price going?
>
>
>
> http://www.telegraph.co.uk/money/main.jhtml;jsessionid=3035JFT53DLYXQFIQMFCFG
GAVCBQYIV0?xml=/money/2006/05/16/cnus16.xml
>
> "Mr Bloom said fears of a dollar collapse had been the chief source of
> contagion spreading worldwide, compounded by an inflation scare hitting
> bonds. After rallying 1.03pc against the euro to $1.2807, the slide is
> likely to resume soon.
>
> "I expect the dollar to fall fast and furious against everything because
> the
> point of inflexion has been reached in US interest rates," he
said. "If
> the
> Fed is not going to keep rewarding me with higher rates for the risk of
> holding dollar assets, why should I hold them?
>
> "The US is importing $750bn more than it is exporting every year and now
> has
> $2,500bn in external liabilities. This is a big call on world savings and
> it
> can't go on forever," he added. HSBC is advising buying Swiss francs, yen,
> and Scandinavian currencies until the storm has passed."
>
>
>
> Have you tried dividing the number of US taxpayers into that $2.500
> billion?
> That's how much you've paid yourselves but haven't earned.  In short, how
> much each taxpayer owes the rest of the world.
>
> The real problem is not a deficit of 7% of GDP - it's an administration
> that
> doesn't think it's a problem.  Or doesn't care, just as it doesn't care
> about anything else not on a right-wing "Christian" manifesto.
>
> You'd better hope that God mentions the economy the next time he calls
> Shrub
> for advice.
>
>

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