Forecast: U.S. Dollar
Could Plunge 90 pctBy UPI
28 November, 2007
UPINov. 19 (UPI) -- A financial crisis will likely send the U.S. dollar into a free fall of as much as 90 percent and gold soaring to $2,000 an ounce, a trends researcher said.
"We are going to see economic times the likes of which no living person has seen," Trends Research Institute Director Gerald Celente said, forecasting a "Panic of 2008."
"The bigger they are, the harder they'll fall," he said in an interview with New York's Hudson Valley Business Journal.
Celente -- who forecast the subprime mortgage financial crisis and the dollar's decline a year ago and gold's current rise in May -- told the newspaper the subprime mortgage meltdown was just the first "small, high-risk segment of the market" to collapse.
Derivative dealers, hedge funds, buyout firms and other market players will also unravel, he said.
Massive corporate losses, such as those recently posted by Citigroup Inc. and General Motors Corp., will also be fairly common "for some time to come," he said.
He said he would not "be surprised if giants tumble to their deaths," Celente said.
The Panic of 2008 will lead to a lower U.S. standard of living, he said.
A result will be a drop in holiday spending a year from now, followed by a permanent end of the "retail holiday frenzy" that has driven the U.S. economy since the 1940s, he said.
© 2007 United Press International. All Rights Reserved.Leave A Comment
&
Share Your Insights
Digg it! And spread the word!
Here is a unique chance to help this article to be read by thousands of people more. You just Digg it, and it will appear in the home page of Digg.com and thousands more will read it. Digg is nothing but an vote, the article with most votes will go to the top of the page. So, as you read just give a digg and help thousands more to read this article.
Syndicate CC Headlines On Your Blog
