VMC Predictions

[littlejohn]

US Dollar Woes...bad for who?...China?...

Low prediction outlook still going against a gale of better market averages...

Gov't stimulation has slowed the tide in the deflation arena tremendously from year ago downward real estate pressure...But it isn't putting a bottom in because it opens doors for other potential problems...

US push for stimulation puts pressure on the US Dollar and companies are pushing hard to grab market share...China could be the big loser to this phase as the US tries to adjust to deflationary pressures by increasing global presence...

Any shortfall in China economic activity could affect outlooks across many industries...

Gold holders are fighting the urge to lock in prices...The India demand isn't as big as it was once promoted...The China demand could see future hard looks at any weakness...

Oil has turned up maybe due to a stable demand bottom coming into the market more than adjusting for any short term over-production possibilities...I will not argue the point that the longer term demand could eventually bring pressure back for higher prices...But it isn't this year...

Stocks are high, gold is high, and oil is subject to market fluctuations...And this is a note on a thesis of a lower US dollar impact to keep a watchful eye on ya wallet and how you hope to put more money in ya wallet...LJ