The news that the dollar has hit a 14-year low against the British pound and
other major currencies is making global headlines today.
But, sadly, most Americans don't understand the implications of this for the
long term — and for their personal wealth.
The fall of the dollar — almost 33.6 percent over the past 6 years — means
that the value of your wealth has fallen by $13.4 trillion — at least as the
rest of the world views it.
Make no mistake about it, the dollar and the U.S. economy are in deep
trouble. Financial Intelligence Report, our monthly advisory, has real
credibility today.
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We have been warning our readers for more than two years that the dollar was
in trouble and would continue to weaken.
We have noted that despite massive Federal Reserve rate increases, moving
rates from 1 percent to now 5.25 percent, the dollar should have been
strengthened.
Instead it has continued to deteriorate.
[Editor's Note:
Investing gurus Warren Buffett and Sir John Templeton agree. The dollar is on
the verge of collapse. And you can profit.]
There are several reasons for the collapse of the dollar. Understanding them
is key to fixing the dollar problem, which is a symptom rather than a cause.
The following are some of the causes:
- Real inflation is running much higher than officials claim
- The U.S. has a mammoth trade deficit
- The current federal budget deficit and national debt is now at $8.6
trillion
- There is a war being waged on the dollar by OPEC, the EU and other U.S.
adversaries
The Financial Intelligence Report delves deep into these
issues. You may review details about our recent report "Bernanke's
Panic: Averting the Currency Crisis" — which examines these matters and how
you can profit from them.
Interestingly, a falling dollar will yield several things, among them
- Gold will continue to strengthen
- U.S. equity markets will weaken
- The Fed will have to keep interest rates high, further squeezing the
economy
- U.S. bonds will weaken
- Global equities in key markets will do well for dollar investors
Please take a moment to review ways you can protection yourself as the dollar
falls.
Editor's Notes:
