http://www.ForexConspiracyReport.com - US Dollar Deflation - The recent good news-bad news about the housing market also has to do with US dollar deflation and Forex markets. The good news for the economy in general is that there are more housing starts in the USA. The good news for home buyers is that when the price of new and existing homes falls it makes it easier for new buyers to enter the housing market.

2. THE RECENT GOOD NEWS-BAD NEWS
ABOUT THE HOUSING MARKET ALSO HAS
TO DO WITH US DOLLAR DEFLATION AND
FOREX MARKETS.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

3. THE GOOD NEWS FOR THE ECONOMY IN
GENERAL IS THAT THERE ARE MORE
HOUSING STARTS IN THE USA.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

4. THE GOOD NEWS FOR HOME BUYERS IS
THAT WHEN THE PRICE OF NEW AND
EXISTING HOMES FALLS IT MAKES IT
EASIER FOR NEW BUYERS TO ENTER THE
HOUSING MARKET.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

5. THE BAD NEWS IS THAT THE SAME
PROCESS BRINGS DOWN THE VALUE OF
EXISTING HOMES. HOME VALUES HAVE
ALREADY TAKEN A REAL BEATING OVER
THE LAST FEW YEARS.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

6. THUS A FURTHER DECLINE IS HOME
VALUES WILL FURTHER REDUCE THE
ASSET AND CREDIT BASE OF AMERICAN
FAMILIES.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

7. THIS COULD, IN THEORY, LEAD TO A
DEFLATIONARY SPIRAL. US DOLLAR
DEFLATION WOULD ALSO RAISE THE VALUE
OF THE DOLLAR VERSUS OTHER
CURRENCIES.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

8. SINCE THE HOUSING BUBBLE BURST IN
2006 THE AVERAGE LOSS IN HOME VALUE
ACROSS THE USA HAS BEEN A THIRD.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

9. BECAUSE MANY NEW HOMES ARE UNSOLD
AND BECAUSE THERE ARE MANY
MORTGAGE FORECLOSURE HOMES ON THE
MARKET THERE IS A DOWNWARD
PRESSURE ON HOME PRICES.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

10. ECONOMISTS CONTEND THAT THE
HOUSING MARKET IS STILL CORRECTING
FROM THE BUBBLE OF THE EARLY 2000’S.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

11. ALTHOUGH THE DECLINE IN HOUSING
VALUES IS GENERAL THERE ARE A FEW
EXCEPTIONS SUCH AS PHOENIX WHERE, IT
WOULD APPEAR, FOLKS WHO STILL HAVE
MONEY ARE MOVING.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

12. ECONOMISTS ARE TYPICALLY NOT
CONCERNED ABOUT A SLOW RATE OF
INFLATION BUT EVEN A SLOW RATE OF US
DOLLAR DEFLATION GETS THEM TO
WORRY.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

13. THE CONCERN IS THAT THE DECREASED
WEALTH EFFECT ASSOCIATED WITH LOW
HOUSING VALUES RESULTS IN
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

14. DECREASED SPENDING WHICH IN TURN
RESULTS IN LESS PRODUCTION, FEWER
JOBS, AND A FURTHER DECREASE IN
WEALTH.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

15. WHILE THIS CAN BE A DISASTER FOR US
CITIZENS IT CAN BE VERY PROFITABLE FOR
THOSE WHO HAVE US DOLLARS AND,
ESPECIALLY, THOSE WHO TRADE FOREX.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

16. A STRONGER US DOLLAR INCREASES
BUYING POWER ABROAD. IT WAS IN THE
1980’S WHEN THE US DOLLAR WAS
STRONG THAT MANY US COMPANIES
BOUGHT LARGE STAKES IN FOREIGN
COMPETITORS.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

17. US DOLLAR DEFLATION INCREASES THE
REAL VALUE OF THE US DOLLAR OVER
TIME.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

18. THIS IS GREAT IF YOU HAVE US DOLLARS
AND WANT TO BUY ASSETS IN THE US OR
ELSEWHERE.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

19. IT IS A PROBLEM IF YOU ARE A US
MANUFACTURER WHO WANTS TO
COMPETE IN FOREIGN MARKETS.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

20. IT IS ESPECIALLY A PROBLEM IF YOU ARE A
US WORKER WHO IS PRICED OUT OF A JOB
BECAUSE IT IS CHEAPER
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

21. TO HIRE SOMEONE OVERSEAS AND PAY
THEM IN A FOREIGN CURRENCY.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

22. US DOLLAR DEFLATION COMES FROM
THERE BEING LESS AVAILABLE MONEY.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

23. LESS AVAILABLE MONEY COMES FROM
LESS SAVINGS, TIGHTER CREDIT, LOWER
WAGES, AND EXCESSIVE DEBT.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

24. THIS LAST ISSUE MAY BE CENTRAL TO
BOTH THE US AND EUROPE.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

25. THE TWO LARGEST ECONOMIES IN THE
WORLD ARE BOTH HEAVILY IN DEBT AND
BOTH HAVE TIGHT CREDIT AS A RESPONSE
TO THE WORSE ECONOMIC DOWNTURN IN
THREE QUARTERS OF A CENTURY.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

26. THE PROBLEM CAN BE ALLEVIATED IN THE
SHORT RUN BY INCREASING CREDIT AND
PROVIDING ECONOMIC STIMULUS,
ESSENTIALLY BY PRINTING MONEY.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

27. HOWEVER, THESE APPROACHES DRIVE UP
DEBT AND CAN LEAD BACK TO THE SAME
FIX WE ARE IN AND US DOLLAR
DEFLATION, AT LEAST IN THE US HOUSING
MARKET.
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

28. FOR MORE USEFUL INFORMATION AND
TIPS REGARDING FOREIGN CURRENCY
TRADING VISIT
W W W . F O R E X C O N S P I R A C Y R E P O R T. C O M

29. WWW.FOREXCONSPIRACYREPORT.COM.