Stratfor has an interesting piece in its subscriber only section on the prospects for the dollar. The holiday on the strong dollar policy is apparently over and the dollar is set to rise. One of the moderating factors which will mean the dollar's rise will be slower than its fall is the situation in Iraq. Apparently there is a significant chunk of the investor community that believes Iraq is a quagmire in the making. At the same time, these same investors believe Chechnya is a manageable situation for Russia.
It turns out that the Russians have lost more men this month than the US has lost during the past three months (May 1 - Present) plus Russia has something of a reputation for hiding its problems and low balling its official casualty figures. The Democrat/media drumbeat of negativity is creating economic bad news for the US via market distortion. I wonder if anybody's going to catch on and punish them for it?
Posted by TMLutas at July 21, 2003 11:58 PM