Friday, November 23, 2007

While you were eating Turkey, The Dollar was crashing to record Lows, Gold and Oil Soared to record Highs

That sucking sound you hear isn't the leftovers going down the garbage disposal, its the currency being debased.

The dollar index, which tracks the greenback against a basket of major currencies, hit an all-time low of 74.484, taking year-to-date losses to 11 percent. In real terms the dollar lost about 0.8% in one day.

Gold came close to $826 an ounce, making a run back toward a recent 28-year high.

U.S. crude oil for January delivery settled at a record $98.18 a barrel, up 89 cents, or almost 1 percent, after heating oil futures hit an intraday record on weekend forecasts of cold weather in the U.S. Northeast.

Source: Reuters

The question remains; Will Bernanke continue to cut interest rates in a futile attempt to stave off the inevitable recession? If another rate cut is in store, his actions will continue to destroy the dollar, and as a consequence, the standard of living of everyday Americans.

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