Dollar Crash: Compared To What?

I've been around long enough to have seen many "prophets of doom" come and go and they all have been wrong in their predictions. I'm betting that by the end of this year the Stock Market will be stronger than ever and the Dollar will be stronger as well.
And silver might be headed to $10. oz. (time to buy)

 

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I'm just wondering why , with the condition China's economy is in , why would or should anyone put their trust in their currency ?

 

We may be printing massive amounts , but China is probably printing double if not more of what we are . Does anyone know the #s on this as a ratio of us versus other countries ? Also what has the amount of gold any country has , have to do with anything . It's a commodity and nothing else .
It doesn't back any currency and how could it as there's not enough of it in this world economy .

 

Like the others have said, this is one of the most faked coins in Italy. The Italians make some nice fakes and they are sold over there as reproductions (riconio). Some of the fakes are made of silver and some are a white non-silver metal.
They do pop up over here on Ebay and some sellers get away with selling them as real coins.

 

Well, what if the Yuan did reach reserve currency status? There is probably room for a fifth reserve currency. Of the five it would most likely be the least significant for a very long time. I mean would you trade your greenbacks for Yuan? I know I wouldn't and that probably goes for over 99% of the folks out there. It would pose notp threat to the Greenback in the foreseeable future.

Your statement that China Russia and India have more Gold than the US is incorrect. The US is the largest holder of Gold and has more than those three countries combined. More important though, it is really quite irrelevant. The 8,000 or so tonnes of Gold we hold means little in a 17 trillion dollar economy .

http://www.usatoday.com/story/money/business/2014/03/22/wall-st-cheat-sheet-nations-gold/6709493/

As far as the US dollar being back by nothing, that really is not 100% true, but we can just agree to call it Fiat and be done with it. I am not getting your point though. The Rupee, Ruble, and Yuan are all Fiat too, so what are you saying?

As far as being 17 Trillion in debt (actually 18 Trillion) , yeah that is a lot, and I don't like it either. When are going to pay it off? Well, not in my lifetime. So things are not perfect there, but the flip side to that question is when are we going to default on it. The answer is the same, not in my lifetime. So, while I am not happy with the debt, and it will provide financial headwinds for quite some time, it won't be a game changer for me.

So your final point of when will the FED stop printing money, well they did, and inflation was kept under control the whole time. So what is the problem? One thing it seems that the hard money guys do not seem to get, is as the economy grows, the money supply MUST expand. Now you can argue all day long on how much it should expand, but make no mistake about it. Printing money is absolutely necessary. Even on the Gold standard, the Money supply expanded as more Gold was mined. So is it really that much different to print money "out of thin air" or digging it up "out of brown dirt"?????

 

The overall strength, diversity and resilience of a country's economy are what provides value to a currency. Who cares about gold reserves?

Doom and gloom and conspiracy theories will always be around because some people would be bored without them.

 

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That fact that not a single fiat currency has ever survived in the long run still remains. To ignore that is being short sighted. Will it be today or 10 years from now? Or longer? I certainly don't claim to be connected enough to know.

 

That fact that not a single human or any dominant species has ever survived in the long run still remains.

How long is "long run" and "short sighted" ? Will the asteroid hit today or tomorrow? Why go to work or save metals, the end is coming. Let's make the kool-aid in case.

 

Has any currency of any sort ever "survived in the long run"? If not, I'm not sure what this claim that "fiat currencies can't survive in the long term" really signifies.

 

Many Fiat Currecies that have not survived never collapsed or failed. The French Franc is just one of many examples.

More important though, it is a bit ridiculous to design an entire financial plan around an event that will most likley not happen in our lifetime. It is just not playing the odds. I don't think anyone has an issue with putting a resonable amount of weatlh (perhaps 5-8%) in PM to cover more bases but to go "all-in" makes little sense. I mean what if the USD does not fail??? There was a huge oportunity in equities to actually GROW your wealth that could provide a better life for you an your family that was completely missed and just went completely down the tubes because you decided to play the long shot.

So could it happen in your lifetime??? Maybe
But will it happen??? Most likley not.

Play the odds accordingly

 

Things are different now than anytime in the past. We have a global economy now. Everyone is tied up in everyone. If any of the major countries fall it effects everyone. If America's dollar falls it effects everywhere. All of a sudden companies such as Apple, McDonalds, Coca-Cola have huge cuts and possibly go out of business. This has huge effects all over the world, cuts jobs, lost tax income etc etc. Same thing if China's currency fell. A massive fall in any of the major economies would have negative effect on everyone.

 

I wish you could have seen the people lined up in my store to pay 50-70% premium for silver back in the fall of 2008. It's so easy to forget what that fear and uncertainty felt like for many people.

 

You nailed it. Some people forget how bad things were back in 2008. Our country has come back strong since then. The Stock Market has almost doubled in value and our Dollar is so much stronger.

It's been a great recovery considering where we were. Let's hope it continues.

 

Will Lee Iacocca be stopping by to give a pep talk?

 

"The trick is to make sure you don't die waiting for prosperity to come."

Lee Iacocca

 

Or die and prosper as a 1979 bail-out zombie.

 

"Let's see....

Greece is broke. They're gonna borrow more money to pay back their bankers.

Puerto Rico is broke. They want to stiff their lenders. Only 70 billion owed.

Illinois is heading toward bankruptcy. They can't control their spending.

The US owes 18.3 trillion. And that doesn't count SS or Medicaid obligations.
And we're adding to that at 500 billion per year.

What could possibly go wrong?????"

 

Hmm, let's look at History . The year was 1945. The US debt was just about where it is today when measured against GDP . Countries like France, Germany, Greece , Japan , Italy were in total shambles. Many Americans feared A Great Depression style slowdown. What Happened???? Twenty five years of unprecedented growth. From 1945 to 1960 , the US GDP grew 150% and continued growing strongly until the early 70's.

Not sure why stackers are so focused on what can go wrong, instead on trying to figure out what can go right.