Bill Gates, World's Richest Man, Bets Against Dollar (Bloomberg)

[cthrumatrix]

Bill Gates, World's Richest Man, Bets Against Dollar (Update2)

Jan. 29 (Bloomberg) -- Bill Gates, the world's richest person with a net worth of $46.6 billion, is betting against the U.S. dollar.

``I'm short the dollar,'' Gates, chairman of Microsoft Corp., told Charlie Rose in an interview late yesterday at the World Economic Forum in Davos, Switzerland. ``The ol' dollar, it's gonna go down.''

Gates's concern that widening U.S. budget and trade deficits are undermining the dollar was echoed in Davos by policymakers including European Central Bank President Jean-Claude Trichet and German Chancellor Gerhard Schroeder.

The dollar fell 21 percent against a basket of six major currencies from the start of 2002 to the end of last year. The trade deficit swelled to a record $609.3 billion last year and total U.S. government debt rose 8.7 percent to $7.62 trillion in the past 12 months.

snip

http://www.bloomberg.com/apps/news?pid=10000087&sid=atQjxQiQeANA&refer=top_world_news

[Robert Oak]

1. These guys should be forced to keep US dollars exclusive

After all they are the ones causing the current slide and impeding economic implosion.

They outsource the jobs, ship manufacuturing overseas, lobby heavily for multi-national corporate favored trade agreements, thus create a massive trade deficit and give thousands
to these yahoos (like the Shrub) to obtain their corporate pork
and tax favors...

now they get to move their money into foreign currency to avoid
the aftermath while we get it in the ...

well, fill in the blank.

[cthrumatrix]

6. it's all about profit --- whatch "freeper go nuts"

[blm]

2. Why didn't Republicans put THAT in their Thankyou, George W. Bush book?

.

[AtTheEndOfTheDay]

3. Can we mere citizens

short our dollars? Anybody? How's it done? Buy foreign currency? How? First I lost money in the tech bubble. Now I'm losing it doing nothing. This sucks!

[davhill]

4. Buy gold

Or Euro denominated mutual funds and CDs. Also invest in those few US companies who sell mostly overseas.

[patricia92243]

12. I have my money in a CD here in USA. DO you mean a CD in another country?

[98geoduck]

21. Gold is a matter of "perceptive " value as well

Although some seem to think the gold standard is a "sure bet", as I did back in the 80's during an economics class. I actually wrote a paper on returning to the gold standard. Since then, I studied geology and in a mineral resource economics class, I learned of the huge surplus of gold, and it's limited applications. ie not practical for wiring, limited use in space equipment, alternatives in PC board manufacturing, etc. This brought about the whole "perceptive value" debate, and I was swayed far away from it's solid value state. Copper, on the other hand, IS a resource that is running in shorter supplies globally due to it's desirable quality for electrical conductivity used in everything from house wiring, auto manufacturing etc. Bottom line, people don't NEED jewlery, but societies are, more and more, dependant on electrical power. Of course, I'll resign to this being my objective opinion as well, but some may want to reconsider how valuable gold really is. Also, diamonds are NOT forever! They are metastable! and can be produced from carbon for any necessary implimentation, ie tools. Hope this enlightens a few.

[Warren Stupidity]

7. heres how to make your dollars shorter:

1) the money laundry - my wife refuses to go through pockets, and since I hate doing laundry, I put up with this nonsense. Your dollars will definately get shorter by just leaving them in your clothes when you put the clothes in the laundry hamper. Your cell phone, on the other hand, will not shrink, but it will be fried so you will have to get a new one, one of those picture models so you can send/receive ad hoc porno while driving.

2) the scissors method - apply a conventional scissors to one end of your dollar. To be sure this works, measure before and after. Collect the cuttings and see if you can make a new dollar out of them.

[Viva_La_Revolution]

9. I'm checking into my 401k, ...

Every penny is getting switched to the Euro. Ask your grandparents about the depression.

[DUgosh]

18. I asked them

They said that it wasn't just because the dollar was devalued it was because there were no dollars. Stock market tanked and dollars were lost, no jobs, and higher prices ( shorted dollars ). Folks with investments that they could hang onto did ok. Good investments to buy then were low cost housing to rent out to folks cheaply. Thus buying up real estate and holding it tightly until it became viable again. (PS, they did this and did well)
Their advice was to pay off debts, credit cards, and home mortage. Learn to live on less and have viable "blue collar" skills to barter with.

[BrightKnight]

37. I moved much of my retirement savings overseas 2 years ago.

I am sad to say that it was a very good financial decision. I don't think that my retirement money is safe anywhere near the neocons.

[ckramer]

39. How do you do that?

[Wright Patman]

5. You can open accounts

in foreign currencies using Everbank.

http://www.everbank.com/

[satya]

8. If everything tanks, how do you get your money from these guys?

Maybe I'm squeamish because I see they're based in Florida. Sure, they're FDIC insured, but what does that really mean in a global economic meltdown? Or if somebody hacks the banks and wipes out all traces of my account ownership?

I've wondered the same thing about my IRA, held in a brand-name brokerage account.

:tinfoilhat:

[Robert Oak]

13. don't use everbank

two reasons:

1. They screwed me over big time by sitting on my deposit and not opening the account, thus I missed the last US dollar drop window by 25% and when I complained they
turned around and rejected the account claiming "bad credit"
amazingly though my credit was fine (and I was notified as such) until I complained...
this means they are about as stable and stick to their policies
as sand...

2. They are US based, FDIC, so if the US tanks...you still won't
be able to get your money out due to a run on the US banks, possible
freezing of US accounts.

There are many banks you can place your money in ...offshore means
simply you opened up a bank account in another country.

Switzerland has a ton of banks and most let you open an account over the phone/online.

[bahrbearian]

20. Thanks for the Link

[Piperay]

30. Seems the best thing to do

is to put your money in short term accounts because with the drop of the dollar interests rates are going up. Once the rates get high you can move your money to a long term account and collect high interst for a few years.

[Gman]

10. Freepers will bash Gates over this but they refuse

to blame Bush. They will even acknowledge that the dollar is in trouble but they will look down and kick rocks before they'll answer directly who is responsible for this.

[patricia92243]

11. Why Clinton is to blame, of course (sarcasm to the max)

[idlisambar]

15. They may have a case

This dollar weakness is a long time in coming. Bush is not alone in deserving blame, Clinton's trade policies are a big contributing factor.

[cliss]

14. I'm willing to bet......

that Bill Gates subscribes to the Trends Research Newsletter. I'm sure it's the only thing opens by himself when it arrives on his desk.

Trends Research Institute is a future prognosticator, headed by Gerald Celente. Mr. Celente has some pretty bad things to say about the US economy.

I'm sure Mr. Celente is #1 on George Bush's shit list, because I don't see any party line spin in the newsletter.

I think there's something in there about the US currency. Will go back & check.

http://www.trendsresearch.com/journal.html

[Scooter24]

16. Actually

I'm willing to bet he has taken the advice of his good friend Warren Buffet. Gates also sits on the board of Warren's company, Berkshire Hathaway. Buffet recently bet against the dollar and Gates is following closely behind. I'm sure that if you ask anyone from the list of top 10 wealthiest Americans you will find that most of them will bet against the dollar.

I happen to agree with them -- I shifted a good portion of my portfolio to foreign currency in the Summer of 2001 and the returns are quite impressive. Given the data available on the status of the dollar and US economy, it would be a foolish bet to buy into the dollar.

[ozone_man]

17. If you bought Euros in 2001,

then you did very well indeed. Or gold for that matter. But both are going down now. Sell and buy dollars in the short term, because dollars are on the rebound. Buffet is better at picking stocks than guessing overall market trends.

[cliss]

23. Nice. I'll take advice

wherever I can get it. I'm an information junkie, so I appreicate any good sources. Now I'm wondering about Berkshire Hathaway. Have they made an official statement about flushing the dollar?

Or is this more "insider" information? I'm going to see if they have a web site.

[Rockerdem]

29. Sell the dollar

It's tanking some more.

[ClintonTyree]

19. Duh................

It doesn't take a financial genius to see where the dollar has been going and the prospect of it regaining it's status in the world. When bush's ass is finally pried from the White House maybe we can return to a fiscal policy that will reverse the damage he's done. However, in four years he can take it totally down the crapper and sometimes I think that's his (and PNAC's) goal.

[cthrumatrix]

41. perhaps others are declaring "economic war" on the US

as we do our best to bring ourselves to a 3rd world country

the global elite plan for one world govt is unfolding

[Turbineguy]

22. There are plenty

of non-euro denominated european investments as well.... Norwegian oil companies for example.

[MisterP]

24. can you IMAGINE if Gore were Prez. and the dollar dropped 21+ percent?

and THEN SAID IT WAS A GOOD THING?!

[edhopper]

25. It is the expressed policy

of the US Government to allow and even push a falling dollar. This is meant to shrink our debt in real terms (but not in the actual amount, which is growing.) The dollar will continue to fall and if the Central Banks of Europe and Asia don't continue to support it, the dollar will collapse.

[davhill]

27. What a deal

You borrow trillions from everyone in the world, then pay them back in worthless dollars. You'd think the suckers would get wise to the scam.

[fedsron2us]

26. Bill Gates. Great American and Patriot

<sarcasm off>

[lupita]

28. Invest your money in european / international funds...

My accounts have been doing really well.

Lupita

[Chicago Democrat]

33. me too but when to say no 50%, 70%??? Even within the "global" funds

themselves some have up to 50% US

[proudbluestater]

38. I've been reading up on this. Global funds are US and foreign,

while the International funds are strictly foreign companies, no US.

[Zech Marquis]

31. well, it's just about over now

if Bill Gate$ is giving up on the dollar, you just know we are absolutely FUCKED.

[PurityOfEssence]

32. Bill Gates is not the richest person on Earth, Ingvar Kamprad is...

It's hard to tell, but the guy who runs IKEA is by many accounts the richest person. Any updates?

[MadisonProgressive]

40. According to Forbes, as on Feb. 2004, he is 13th

http://www.forbes.com/lists/results.jhtml?passListId=10&passYear=2004&passListType=Person&searchParameter1=unset&searchParameter2=unset&resultsStart=1&resultsHowMany=25&resultsSortProperties=%2Bnumberfield1%2C%2Bstringfield2&resultsSortCategoryName=Rank&passKeyword=&category1=category&category2=category

[BrightKnight]

34. He supported these fools! -n/t

[RawMaterials]

35. Gates is just fallowing his buddy Warren Buffet

the worlds richest man. read up on what he does with his money and you'll never go wrong. on Friday buffet made 630 million when pg bought out Gillette. he has been selling short the dollar for the last 2 years.

there are currency markets you can trade in but most individual investors would be better off just paying off debt and getting ready to survive the economic tsunami thats about to hit.

[RawMaterials]

36. the problem with fallowing trends is your always

going to be one step behind. but this is better then being stuck with all the losers and the bottom of this relay big pyramid scheme.