The dollar has indeed taken a “bit of a bashing” today.

By Daniel at 26 November, 2009, 12:45 am

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It’s in free fall. USD has lost 9% of it’s value since July and 1% overnight and today alone. Did you hear that? The dollar has lost 1% of its value today alone, while the market participants are distracted by turkey and loved ones (some of whom are sometimes also turkeys).

And while nobody was watching the buck fall 1% today, the market hasn’t budged. Hasn’t it been the norm that as the dollar tanks, the market surges? Yes it has… until now. It sure looks to me like we’re now in that scenario that nobody wants to talk about. The dollar and the markets tanking at the same time. It’s a horrendous situation, but if today’s action is any indicator, it’s upon us.

Russia today announced that they need to diversify their foreign currency holdings and get the hell out of American dollars. I guess they’ve become convinced, as we all have, that Bernanke doesn’t give a shyt about American citizens as long as his buddies stand to make a ton of money on the dollar carry trade. He’s stood by like a parent watching his kid burn, and hasn’t done a damned thing about it. That’s a traitorous parent in my books.

Russia has declared that they want Canadian and Australian currencies, where rock solid, well run economies still exist. Canada’s dollar reacted in a heartbeat by rising a full cent today. And that does nothing but harm to Canada’s economy. So Canadians thank Bernanke for exporting his poison even to friends.

We’re about to witness the dollar and the equities markets fall together for the first time since year 2000, and this time it’s for a completely different reason. Thanks Bernanke and Greenspan, you bastards knew damned well this would happen.

- Northern Dancer