Shock and Awe

A mighty butterfly flaps his wings and across the Atlantic, the stock market responds. Dr. Greenspan merely stated the obvious that with expanding near record balance of payments deficit and further devaluation of the dollar, overseas interest in buying US bonds and equities might slacken. With these words, that perception becomes a reality.

So, the optimist might consider this an opportunity to buy dollars or equities. The pessimist might consider this the end of “shock and awe.”