Message:

<p>[QUOTE=&quot;Cloudsweeper99, post: 1016504, member: 3011&quot;]You are correct that my comment isn&#039;t backed by any policy.&nbsp; It&#039;s backed by what happens in the real world.&nbsp; In the past year, the Fed has decided to back FRNs with nearly worthless bank assets that they traded Treasuries to obtain. Nothing changed. In the best of times, FRNs are backed by Treasury debt that is denominated in FRNs; a circular argument that defies logic -- except that it works.&nbsp; But the reality is that nobody cares.&nbsp; FRNs are not convertible into any hard assets.</p><p><br /></p><p>If you really believe what you say, you should get rid of all of your dollar denominated assets.</p><p><br /></p><p>Edit: I would also add that you are wrong in thinking that central banks use gold to settle payments among each other.&nbsp; This hasn&#039;t happened for many decades.[/QUOTE]</p><p><br /></p>

Your name or email address:

Do you already have an account?

• No, create an account now.
• Yes, my password is:
• Forgot your password?

Stay logged in