Comment: thanks for the prop

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thanks for the prop

you know, wsj had an article about the fed acknowledging the US Dollar had a 7% drop in value against the yen, in 3Q.*

That's only in 3 months time.

If this continues, we would hope to get a 28% raise this year just to be par with purchasing power to make a living next year.

That's pretty scary.

Mind you, it's not safe to compare USD value vs other currencies if they are all sinking relative to each other. (For example, we know the Euro is inflating too.) So it could be a lot worse, which would explain Gold going "up."

I put "up" in quotes, because as you probably know, if gold's value is staying relatively te same, then the price "raise" is just an illusion. After all, it would be taking more devalued dollars to make the same purchase from just a few months ago.

The high in Aug '09 was $965 an ounce. Today it is about $1125 an ounce. That's a 16.5% increase. Which would indicate that the USD actually dropped close to 16.5% last quarter.

undoubtedly, the truth is somewhere in between.

* the article about the 7% drop vs yen was posted here a few days ago: (anyone know how to bring up the full article?)