Author, Andrew Sheldon
Global Mining Investing is a reference eBook to teach investors how to think and act as investors with a underlying theme of managing risk. The book touches on a huge amount of content which heavily relies on knowledge that can only be obtained through experience...The text was engaging, as I knew the valuable outcome was to be a better thinker and investor.
While some books (such as Coulson’s An Insider’s Guide to the Mining Sector) focus on one particular commodity this book (Global Mining Investing) attempts (and does well) to cover all types of mining and commodities.
Sunday, February 17, 2008
You might ask - Who would care? Well you might think the Japanese, Chinese and Arab governments who are accumulating large amounts of US debt. But no - that is not apparent. We dont see alot of complaining from those quarters. The reason is that they see opportunity where others see problems. The opportunity is:
1. Higher interest rates in the USA
2. Reform of this poorly structured monetary system
3. Continued economic prosperity in the interim, which they profit from, whether its sales of Chinese & Japanese exports, or purchases of Arab oil.
In this last chart we can see that the USd-JPY has stabilised in the 100-130 Yen range. Currently the USD is trading at 107 yen, and I believe it will return to 100 yen, last reached in 2005. Once again the fall in the USD is being orchestrated by a decline in the Fed Reserve interest rate. At that point, there is really two ways for the government (likely a Democrat govt) can address its issues:
1. Increase interest rates and taxation
2. Print USD to repay all those foreign holders of US treasury notes, or some combination of these 2 options.
3. Reform the economy
The US is already one of the most vibrant economies in the world by virtue of the US values system and its dynamic, free-thinking people. But government works in mysterious ways. We have already made the point that the USA benefits from the current monetary system. But I suspect the US might be willing to debase its currency to get Japan and China (and Asia for that matter) to legitimately price their currencies. At some point, these countries will have a large portion of their savings in US treasuries.
I wanted to provide this forecast of the outlook for the USD-JPY for the sake of property investors in Japan. Refer to my report on Japanese Foreclosed Property 2008.
Andrew Sheldon www.sheldonthinks.com
You can view foreclosed properties listed for as little as $US10,000 in Japan thanks to depopulation and a culture that is geared towards working for the state. I bought foreclosed properties in Japan and now I reveal all in our expanded 350+page report. The information you need to know, strategies to apply, where to get help, and the tools to use. We even help you avoid the tsunami and nuclear risks since I was a geologist/mining finance analyst in a past life. Check out the "feedback" in our blog for stories of success by customers of our previous reports.
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