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Frelodr
22nd November 2008, 21:10
From what I read --> this will raise the dollar again --> against other currencies. From what I read India is just going to put them away. The swap is with the Fed. Sounds like more manipulation to me. Lodr
Site:
http://in.news.yahoo.com/48/20081122/1237/tbs-to-build-dollar-reserves-india-looks.html

GraysonDave
22nd November 2008, 21:15
This run to the dollar has been fascinating. I, and I suspect many others here, view the dollar as something headed for worthlessness. Yet, the rest of the world is scrambling to get it's hands on them. Fine with me since I need more time to accumulate my goal of silver. The end of the dollar will be exhilirating to watch once I have my stash.

Gino
22nd November 2008, 21:37
I'm not sure "the rest of the world is scrambling to get it's hands them". I think its more like the US trying to spread the impact of a dollar collapse around the world as much as possible, so its own collapse won't be so bad, relatively. The more other nations are sucked down by the collapse in the dollar, the less will be the economic difference between the USA and those other nations. Contrast that to the USA emulating an Argentina type collapse while all other nations just watching it happen, then get on with business with a re-shuffled deck.

I was just reading how the USA is pleading for some mid-east money as well. . .
US seeks 300 billion dlrs from Gulf states: report (http://news.yahoo.com/s/afp/20081120/bs_afp/financeeconomyusgulf_081120072928)

. . . Washington has asked Saudi Arabia for 120 billion dollars, the United Arab Emirates for 70 billion dollars, Qatar for 60 billion dollars and was seeking 40 billion dollars from Kuwait.

I wonder if that's another swap or some type of loan.

Perhaps the USA wants some Oil backed Riyals as well as some emerging market Rupees to diversify its currency holdings?