(snip)"The thing to take from this is that the Treasury will still need to borrow $1.39 trillion, with the borrowings gaining momentum in the past six months. And this total amount of borrowings is what’s weighing on the appetite for US Treasuries by foreigners…
Did you see where Wal-Mart just issued $1 billion in bonds but denominated them in yen? Is there a message there? I believe so, folks… Now, if we begin to see more corporations doing this, then the message will be loud and clear. These corporations don’t believe they can sell their debt denominated in dollars, as the world is choking on dollars right now … When and if other corporations begin to do this, we’ll see the dollar get sold like ponchos on a rainy day at Disney World!"(snip)
from
also, the same link has some interesting things to say about other currencies versus the US dollar ...
(snip)"Instead, let’s talk about a currency that’s moved higher while remaining in stealth mode… The Canadian dollar/loonie (CAD)… Ever since the Bank of Canada’s Governor said earlier this month that he was going to do whatever he needed to do to keep the loonie weak… The loonie has taken off on a moon shot! In fact, the loonie just hit a 10-month high versus the green/peachback!
And, not meaning to place “Chuck’s kiss of death” on these currencies, but this scene has played out in other places too… In Canada, Switzerland (CHF), and Brazil (BRL), each respective country’s Central Bank Governor issued warnings about keeping their currency weak… In all three, the exact opposite has happened. And I have to smile about that, because… You may recall me calling out today’s currency traders as not having the cojones to take on central banks, as opposed to the currency traders of yesteryear who would make it a personal challenge to defeat a central banker that put down a line in the sand on a currency’s level.
So… It may all be a co-inky-dink that these three currencies are rallying after their Central Bank Governors said they would keep their respective currencies weak… But I doubt it!"(snip)



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