Short Dollar: Human History's Largest Short Squeeze

$9 trillion of offshore dollar debt. 50% higher than 2008. Thank you Bernankenstein. Anyone having dollar liability and assets in another currency is fucked company. It's subprime x7.

Barrons, Mar. 13, 2015

Global Markets Versus Reality, The Great Divide

[According to] the Bank of International Settlements, ... non-U.S. borrowers have increased their dollar indebtedness by some 50% since the financial crisis, to $9 trillion from $6 trillion."

"And as the Bank of Japan and the European Central Bank are engaging in their own quantitative easing, pushing the greenback higher against the yen and euro, these dollar debtors are getting pressured by the prospect of having to pay back their loans in dearer dollars. In trading parlance, it’s a classic short squeeze."

The Scylla and Charybdis of Diverging Interest Rate Policy

Again, this idea that U.S. interest rates will now go higher while every other country's interest rates will go lower, while $9 trillion in offshore dollar debt gets dismembered from both ends at the same time, is a fantasy of the first order. In 2008, Central bank policy was coordinated. Not now:

All compliments of six years at 0% and $4 trillion of quantitative easing. 

Free money !!!