Sonntag, 16 April 2006 | Blog: 11 | No: 4808    

Der Weltwährungsfonds macht sich Sorgen wegen der Petrodollars

In the 1970s, these funds were deposited in big Western banks. This time around, it is more complicated. Petrodollars are being recycled through international capital markets and offshore accounts, partially because of the post 9/11 Patriot Act reporting requirements, the IMF said.
But these investments have kept U.S. interest rates low, allowing the U.S. trade imbalance to persist, because there has been no pain from running large trade deficits.
This only adding to the risk of an eventual sharp drop in the dollar, a spike in U.S. interest rates, and a recession, according to the IMF report. The report was one of the chapters of the IMF's World Economic Outlook released Thursday.

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