Dollar's Retreat Raises Fear of Collapse

Dollar's Retreat Raises Fear of Collapse: "But the latest turmoil in mortgage markets has, in a single stroke, shaken faith in the resilience of American finance to a greater degree than even the bursting of the technology bubble in 2000 or the terror attacks of Sept. 11, 2001, analysts said. It has also raised prospect of a recession in the wider economy. While most economists just a few months ago would have dismissed the prospect of a dollar collapse outright, they now are debating the possibility that something on par with the dollar debacle of the 1970s might just happen again."

At this point, there is precious little that our "friends" at the central bank can do to stabilize the dollar. Look around at the price of milk, meat, coffee, etc. Inflation is accelerating at an astounding rate.