Text of video in English
Market Vampires
Author: Jarm
Some people have seemed to many vampire movies, since they suck the blood and then seek refuge in the dark to the extent that no sunlight, something similar happened and is happening in world markets. The formula is: When they fall in rates of return in financial markets and raw materials, with increasing financial crisis and the sale of shares, capital speculators "Vampires", private or institutional (including governments) seek refuge insurance in the dollar and U.S. Treasuries.
That is why the face of global crisis (speculative with low return rates) capitalist governments and mega-groups of financial speculation accumulate dollar reserves and take refuge in U.S. Treasury bonds, pending the passing of economic gale. As such as in the vampire movies that do not hold the day.
While there is greater demand this makes the dollar increase and it's appreciated against other currencies. When these volatile capital, once the crisis or uncertainty, they return to the markets of speculation, the dollar begins to descend again and depreciates against other major currencies. Also noteworthy is that economic policies that currently practicing U.S. to revive its economy it tends to favor these speculators, because they have excessively low interest rates and the dollar at its lowest historical boundaries against other currencies like the Yen and the Euro in order to revive exports.
What do these speculators is a technique called "carry trade is borrowing in a declining currency (the currency of funding), and then buy in a rising currency (the currency of investment) betting on its assessment on the market.
The move speculative "money sucking" (a kind of leverage money) is funded at low cost (the dollar) and then invest at a high yield (with the euro). This explains the "feed back" by which the dollar's decline is directly proportional to the rise of the euro.
For this reason you should put a stop to these blood-sucking financial market, as they continue in their wanderings causing major disruptions in world economies, but some countries like Brazil and Korea began to levy a tax of 2% and 1.5 % of speculative capital that only betting on the easy profits. And this would be an impediment to a market that tends to create bubbles when erupting generate a large global chaos.
Contact: economistajarm@gmail.com
That is why the face of global crisis (speculative with low return rates) capitalist governments and mega-groups of financial speculation accumulate dollar reserves and take refuge in U.S. Treasury bonds, pending the passing of economic gale. As such as in the vampire movies that do not hold the day.
While there is greater demand this makes the dollar increase and it's appreciated against other currencies. When these volatile capital, once the crisis or uncertainty, they return to the markets of speculation, the dollar begins to descend again and depreciates against other major currencies. Also noteworthy is that economic policies that currently practicing U.S. to revive its economy it tends to favor these speculators, because they have excessively low interest rates and the dollar at its lowest historical boundaries against other currencies like the Yen and the Euro in order to revive exports.
What do these speculators is a technique called "carry trade is borrowing in a declining currency (the currency of funding), and then buy in a rising currency (the currency of investment) betting on its assessment on the market.
The move speculative "money sucking" (a kind of leverage money) is funded at low cost (the dollar) and then invest at a high yield (with the euro). This explains the "feed back" by which the dollar's decline is directly proportional to the rise of the euro.
For this reason you should put a stop to these blood-sucking financial market, as they continue in their wanderings causing major disruptions in world economies, but some countries like Brazil and Korea began to levy a tax of 2% and 1.5 % of speculative capital that only betting on the easy profits. And this would be an impediment to a market that tends to create bubbles when erupting generate a large global chaos.
Contact: economistajarm@gmail.com
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