No. of Recommendations: 0
I think foreign investors are most sensitive to anything that might affect confidence in the dollar. Rather than risk the double whammy of a falling stock market and a crash in the exchange value of the dollar, they might be tempted to sell dollar denominated assets and buy other currencies such as the pound Sterling.

That means lots of chaos for US consumers. Maybe not immediately, but very soon the price of anything imported will go sky high. This sounds like serious inflation to me.

So lets hope that all this gets settled without major concerns about confidence in the US dollar.
Print the post  

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement