Death of the euro ??

[macdon02]

5th crack on monthly chart attempting to breakout of the downtrend. " What won't go up must go down" here comes USD don't stand in the way. If euro breaks 102 it's Goodnight Angela. With the separation talks and votes I'll take the under. More deflation??

[errolanderson]

European Central Bank is fighting an impossible deflationary battle. Even negative ECB lending rates and ongoing massive bond purchases (QE) are no match. U.S. dollar rallied sharply today largely to the Euro collapse. Draghi (ECB chair) is backed into a corner with failing central bank powers (IMO) . . . .

[macdon02]

And when Draghi quits buying bonds.... relying on govt as your guardian is over. Get ready for work or die, the free money, deficit spending is over. The contagion will spread so fast, simply because there's no bid on govt debt, then, traders look for the next to fail and govt will bleed through the eyes to borrow and taxes go through the roof to service interest costs. It starts like a house of cards until finally the core and reserve collapses. From the outside in. You can see it even here, there's a collapse in faith in the govt. Call me crazy

[errolanderson]

And when Draghi quits buying bonds.... relying on govt as your guardian is over. Get ready for work or die, the free money, deficit spending is over. The contagion will spread so fast, simply because there's no bid on govt debt, then, traders look for the next to fail and govt will bleed through the eyes to borrow and taxes go through the roof to service interest costs. It starts like a house of cards until finally the core and reserve collapses. From the outside in. You can see it even here, there's a collapse in faith in the govt. Call me crazy

macdon, you are certainly not crazy. You are following economic logic that has been distorted by Draghi panicked policies. True economics ALWAYS wins over central bank manipulation (IMO).

[ajl]

And when Draghi quits buying bonds.... relying on govt as your guardian is over. Get ready for work or die, the free money, deficit spending is over. The contagion will spread so fast, simply because there's no bid on govt debt, then, traders look for the next to fail and govt will bleed through the eyes to borrow and taxes go through the roof to service interest costs. It starts like a house of cards until finally the core and reserve collapses. From the outside in. You can see it even here, there's a collapse in faith in the govt. Call me crazy

It is much more complicated then that. Once the current system collapses, there will be no work since there is no demand. Who are you going to sell your stuff to? Government has encouraged consumption by subsidizing borrowings. As soon as that stops you see hyper deflation so yes death is the only option. What will happen too the farm industry when deflation which has started gets going? Can you survive a 50% cut in land values?