Whodunit? Sneak attack on U.S. dollar

[SAMSON123]

I would not call it a sneak attack I see it as many countries defensive move to protect themselves from the REAL SNEAK ATTACK of america printing TRILLIONS OF WORTHLESS DOLLARS AND DUMPING THEM INTO THE WORLD ECONOMY!!

http://www.politico.com/news/stories/1009/28091.html

[240 is Back]

This is what I thought was happening too - one news article, reiterated by Drudge with a screaming misleading headline - and a few people got filthy rich by knowing that gold was about to spike and the dollar drop.


So the piece by Robert Fisk of the Independent shocked currency traders around the world and almost instantly sent the value of the U.S. dollar spiraling downward and the price of gold skyrocketing to an all-time high, as a hedge against a weakened dollar.


The website drudgereport.com quickly amplified the impact of the story with a headline atop the site: ARAB STATES LAUNCH SECRET MOVES WITH CHINA, RUSSIA, FRANCE TO STOP USING DOLLAR FOR OIL TRADING ...


“You read that story, and you do two things: You sell the hell out of dollars and you buy gold,” said Les Alperstein, president of the financial research firm Washington Analysis. “The story has a lot of credibility, with some caveats.”


So who wanted dollars diving and gold rising? In other words, who is Fisk’s source, and why did he or she want to tank the dollar? It’s the global currency version of the old Washington parlor game of speculating on the real identity of Deep Throat.


No one knows.


But one thing is for certain: With the price of gold jumping to $1,048.20 per ounce, traders who moved early enough stood to make millions.


So in government circles in Washington, speculation immediately centered on gold traders: With the skyrocketing price of gold, they’d be the biggest beneficiaries of the article.


Fisk’s story itself isn’t much help in solving the mystery — it is sourced vaguely to “Gulf Arab and Chinese banking sources in Hong Kong,” and it included one blind quote, attributed to “a prominent Hong Kong broker.” That doesn’t narrow down the pool very much.

Read more: http://www.politico.com/news/stories/1009/28091.html#ixzz0TTp7RqSb

[GigantorX]

This is how markets are moved.

[SAMSON123]

Actually those who bought dollars based on inside news or just financial awareness will not and do not MAKE MONEY OR A PROFIT. What they do avoid is being stuck with a currency (the dollar) that can not hold its value. The price of GOLD has NOT risen..it is the value of the dollar that has fallen, so that it takes more dollars to buy the same quantity of gold...which in this case is $1048 dollars for and ounce of gold. As the value of the dollar falls more... it may take $1500 to buy the same ounce of gold.