To: Jurek et al:

As I have said, and now Jurek seems to agree, I see no way that the US$ will not decline in relative value. And in particular relative to the currencies of the developing world such as China and India and likely others. Canada will benefit due to its raw material resources.

Assuming we avoid an economic armageddon (not assured), then what other assets are likely to appreciate? In the inflationary environment which will ensue if we do avoid deflation and depression, the answer is gold, silver, oil and the hard assets of resources which the developing world will require for the buildout of their infrastructures. That and the Chinese Remimbi and the Indian Rupee. Problem is, in the current economic environment with prices of raw materals being hard pressed due to the economy, no one is continuing to spend on resource exploration and development. This will result in resource shortages. The Chinese are taking advantage of this situation by pre buying resources and resource producing companies, at the current advantageous prices and with the foreign exchange resverves they have built up. And as recovery does take place, we will see shortages of raw materials. This is the tip off that the Chinese know what is coming. Namely, higher resource prices and resource shortages!

If one plans on making a living by selling luxury goods, I would suggest moving far to the east and learning Mandarin or Hindi.

Pardon my pessimism but, I see no other alternatives!

Brian