This sucks! August 2 is my Birthday.:eek:
Quote from Digs:
Well every one has gone crazy...
How long can the Arab nations that have pegged themselves to the $USD stay with it. These Arab nations are calculating inflation correctly (Saudi at 7%, Qatar 15%, etc), yet USA has only 2.1% (core, headline 4.1%).
Pegging to the $USD will NOT WORK if the inflation rate differences between the countries gets very wide.
If the USA calculated inflation correctly interest rates would be higher in the US. But not so. So Arab states have a REAL problem and its going to get worse.
$USD pegged Arab states have a justified claim.