Anyone Else At The Panic Point On The Dollar?

[lehighguy]

If my parents are old enough to take money out of thier retirement annuity, I'm really thinking of asking them to put it all into commodities and foriegn CDs.

I'm flat out scared at this point. Our CPI statistic might as well have been scribbled in cryon by a child and the person in charge of our central bank is f-ucking insane.

I've had them in "safe" treasuries during this whole crisis, but even that can't protect them from the printing press.

At worst I figure that they get paid in and own a house in dollars, so if it didn't come true it would still be a big posistive. Its not like commodities and foriegn currency CDs are about to crash 50%.

[illini43]

I have thought about this, but I am not really sure how I would go about making sure my money doesnt lose massive value.

[natedogg]

[ QUOTE ]
If my parents are old enough to take money out of thier retirement annuity, I'm really thinking of asking them to put it all into commodities and foriegn CDs.

I'm flat out scared at this point. Our CPI statistic might as well have been scribbled in cryon by a child and the person in charge of our central bank is f-ucking insane.

[/ QUOTE ]

You're correct, but you may be overweighting the negatives.

natedogg

[foal]

what about the pound? most of my money is in pounds right now.

[lehighguy]

Maybe not over the next three months, who can predict that, but definately over the next three years.

Unless he cuts rates a ton. Then maybe the next three months.

I've had them in "safe" treasuries during this whole crisis, but even that can't protect them from the printing press.

At worst I figure that they get paid in and own a house in dollars, so if it didn't come true it would still be a big posistive. Its not like commodities and foriegn currency CDs are about to crash 50%.

[lehighguy]

My personal liquid assets (all 20k or so) are in Euros, Canadian Dollars, and Aussie Dollars. I'm in my early 20s so I don't have much. My parents have thier 200,xxx retirement annuity. Considering the bogus CPI means thier SS is going to be worseless, that is all they got.

[theseus51]

http://dollardaze.org/blog/?p=107

Eventually ALL paper currency goes to nothing. Like around the world, practically every country uses paper, backed by nothing. It's just the US prints money faster, so their value goes down, but all paper money has no real value.

But that's not to say you don't want to have any dollars. If you look at the stock market, you could play the paper money game, and invest it in stocks, and get more paper money, and use it to buy more real assets like houses and gold and food. If you just held gold in the last 25 years, it went up maybe like 3x, but stocks have gone up like 10x.

I would say diversify in a lot of things. You don't want to hold only one type of investment, cause the federal reserve could do what it did in the late 70s, and spike interest rates to lower inflation and increase the demand for dollars. It strengthened the dollar, made gold less attractive, and having dollars and putting them in CD's earning 20% interest a lot more attractive.

If your parents can, maybe consider buying some real estate and rent it out, that's a stable alternative. You have both hard assets (land) and monthly income (dollars). But yeah, diversify, don't put all your eggs in one basket. (for full disclosure, I personally have 1/3 gold, and 2/3 stocks).

[slickss]

I've been putting off cashing out my PS account, which is in USD, because the USD is so low. Now I'm not sure if I should just cash out now and cut my losses or wait longer in the hope that the USD will increase.

[iron81]

This is more of a Finance thread. I guess Lehighguy agrees because he crossposted it.