The European Tribune is a forum for thoughtful dialogue of European and international issues. You are invited to post comments and your own articles.
Please REGISTER to post.
There's a sense that the US crisis is done with for now. S&P downrated, but the others won't - so the dollar is a safe haven - and there's a lot of money trying to get out of the Eurozone before it crumples...
No dramatic movement.
People are moving from the euro and dollar to the Yen:
to the Yen.
So if people are moving out of the euro or dollar they are parking their money in the Yen or the capitalist paradise of Sweden. :-)
Thus, I think it's safe to claim the price rise of US Treasury instruments, and the resulting decline in their interest rates, is people moving within the dollar.
One thing that may also bear on this is we're hearing, in the US, there are trillions of dollars owned by US corporations being held outside the US because they don't want to pay the repatriation tax. Buying Treasuries is as good a place as any to park it until they decide what to do.
Ever since I learnt about confirmation bias I've started seeing it everywhere
If you only spend 20 minutes of the rest of your life on economics, go spend them here.
So 1 used to buy SEK 9, and now it's buying SEK 10.
by JakeS - May 15 7 comments
by Nomad - May 10 14 comments
by Metatone - May 14 84 comments
by ARGeezer - May 16 10 comments
by DoDo - May 12 10 comments
by Migeru - May 6 100 comments
by Migeru - May 7 8 comments
by marco - May 7 82 comments
by gmoke - May 17
by ARGeezer - May 1610 comments
by JakeS - May 157 comments
by Metatone - May 1484 comments
by DoDo - May 1210 comments
by Nomad - May 1014 comments
by Migeru - May 78 comments
by marco - May 782 comments
by Migeru - May 6100 comments
by Ted Welch - May 35 comments
by afew - May 340 comments
by ceebs - May 26 comments
by gmoke - Apr 301 comment
by Frank Schnittger - Apr 3067 comments
by joelado - Apr 2954 comments
by Metatone - Apr 2854 comments
by ATinNM - Apr 275 comments
by ceebs - Apr 265 comments
by Frank Schnittger - Apr 2686 comments
by In Wales - Apr 2136 comments