Bobroff: "I wouldn't hold pounds at the moment"

[eyeswideopennimrod]

What a load of shit, anyone that can say "i would be tempted with the safe haven of the dollar as well" isn't fit to give financial advice.

The reason increasing interest rates will increase the strength of the pound is because less people will borrow less fiat currency, this means less money is created, therefore relative to other currency it will be worth more.

Not a single thing said about Silver (75% in 2010) or Gold (30% in 2010)

[robinwmcewen]

@eyeswideopennimrod - Whilst i appreciate your comments, sterling strength through interest rate rises is casued by investors chasing the higher yield. However, this may not be the case in the current climate, as i mentioned in my interview. The reason for not mentioning silver or gold and its increase in price is because it was not relevent to the question, however if you watch the video in full, you will notice that i did mention commodities as a whole. USD is still considered a safe haven.

[eyeswideopennimrod]

@robinwmcewen So if the dollar is considered a safe haven, why is it Russia and China don't use it when dealing with each other as of Dec 2010?, In the last 3 years so many fiat dollars have been created that it is devaluing the dollar by the day. It will take time for this to filter down, but when the market realizes the dollar is worth nothing, they will dump it like hot potatoes, and this will sent it into deflation of hyper inflation, either way it's going to be bad.

[robinwmcewen]

@eyeswideopennimrod You're right in that the USD is being de-valued, as most major currencies are to try and boost exports. This possible 'currency war' is a whole different subject. China however have the worlds largest reserve of USD, significantly more than the US itself holds. While oil is priced in USD it will always be the safe haven reserve currency.

[eyeswideopennimrod]

@robinwmcewen "While oil is priced in dollars it will always be a safe haven", and there is the whole global problem in a nutshell. Was Iraq not about to start selling oil in Euro's when the US invasion toppled Saddam, Isn't Venezuela looking to sell in Euro's also and would it explain why so much technology to generate power is hidden away. Look into history if you want to see how fast a civilization can fall when weaknesses are detected, Rome, Egypt, Greece, Mesopotamia. Physical Silver