If the US$ is sold, other currencies like the Euro will rise relatively.
So POG, measured in US$ will rise. But, will POG measured in Euros rise? And if so, by how much?
What if POG does not rise much measured in Euros. Then if Asia (China) converts US$ into Euros, then they are ok.
Like they say; "you ok? I'm ok!"
If US$ deflates by say 30% to 70% current value (basket of other currencies) like Aust $ did back in 1970's, when WHitlam slashed the exchange rate overnight, and say POG is now US$600.
Then future POG = US$600/0.7 = about US$850.
But what wil happen to A$ to US$ exchange rate? Being commoditiers driven we might not deflate. SO POG, measured in A$ might stagnate.
