The above graph shows where the US$ is heading in the last few months - their opinion it is going down,down down in the long term.
Think about this when something is oversupplied what happens to it's value.Currently 26 tons of ink is used each month to print US$ and they show no signs of stopping.Guess what the graph of increase in AU$ is exactly the same so it seems our govt - reserve bank will, in Rich Dads opinion keep our AU$ in this current trading range.
Now that is good news for primary producers - not so good news for consumers and the economy.They beleive all this will lead to super inflation, high interest rates and massive debt.
There are a lot of people who believe we will not be affected - well think about this - our currency just like the rest of the world is tied to the US$ - do you use any of the following -
Oil, Fertilizer,Chemicals or other imported products ?
This discussion is my interpretation of what I heard on the weekend and is intended to encourage you to consider how you and your business can be prepared for whatever is coming.I have no idea who is right but you can be certain of uncertainty.
The other thing I was keen to find out was how this will affect Gold and Silver prices - well I will save this for tomorrow night because I beleive this is worth posting on it's own.
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