It's a long complicated story Flem but what is happening now, and many aren't aware, is the flight to safety of currency for investments.
North Africa is a tinderbox ready to explode plus Iraq, Syria, Ukraine and the EZ: Money needs to find a safe haven and the US is the logical choice (hence the USD rise). Also notice that our bonds are rising in price which will mean our interest rates may be still too high!
Asia financial markets are benefiting from this exodus so there is a place to watch as well.
So as parts of the world explode in war there will be other parts having advancing markets with money at virtually no cost. How long this can go on for?
It may not have a happy ending.
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It's a long complicated story Flem but what is happening now,...
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Paul Rennie, MD & Founder
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