Velocityshares Daily 2X Vix Medium Term (TVIZ)

[gldtimer]

Meanwhile, the US Could Wreck Its Standing.

http://theweek.com/articles/759509/dethroning-dollar

What's the difference between the global equities crashes that happened this past week and the first week in Feb.? Answer: the movement of the US dollar.

Being the world's reserve currency put it at the center of the universe becoming either a warming star as the currency weakens or a black hole as it strengthens. The first week in Feb. had the dollar gaining smartly against all currencies, even the yen.

This past week the reverse happened, big time! Every major currency advanced against the dolla this past week as the DOW had the worst week in two years! One great way to balance trade is to crush the currency making imports expensive and inflation higher.

Looking to history the hyper-inflation in Germany post-WWI was preceded by a meltdown in the Mark. Unemployment in Germany during the hyperinflation was reduced to zero as people needed two jobs to pay for food as prices skyrocketed running huge trade surplus as foreigners bought their goods they could no longer afford.

Zero unemployment and huge trade surpluses certainly didn't make Germany great again !