[quote=Hobie]Gulp.. Arraya, I hope this scenario doesn’t play out.
But if it does, sure would play hell with the Christmas spending while at the same time make America very weak in the world’s eyes.
We still need to keep an eye on the Israel/Iran situation. If Iran lights off an nuke or any aggression to Israel we’ll be in another war.[/quote]
You correct Iran/Israel could be a HUGE tipping point. Though, I do believe it has been Israel threatening aggression for the past year. Not saying Iran wouldn’t, just Israel has been telling the world they are going to bomb them. Whomever draws first blood should be held accountable for the global repercussions. UN just stated that the nuclear threat was hyped. Can you say oil $200…
Swine flu is another that could start a market panic and equities crash.
Either way the stimulus will run out and deflation will take hold again and will see what the Fed will do to counteract and how the world responds. So far, public debt as taken the place of private to continue monetary growth and that can only go on so long.
China has said they are going to stop dealing in OTC derivitives, which is another huge hit to the banks.
Also, Japan elected and anti-dollar regime with promises to stop buying our debt.
A delicate balance we have in the world now. What ever happens it will never be the same.
