-Caveat Lector- 8:06 AM DESPITE IMF BAILOUT BRAZIL PLUNGES AGAIN: Brazil's Currency Slide Sparks Worldwide Woes - Brazil had world markets on red alert again Friday as the value of its newly floated currency fell precipitously and fueled fears of domino-like devaluations from Latin America to Asia. . . . . Neighboring Argentina moved quickly to stem contagion with a surprise announcement late Thursday that it was proposing a radical monetary treaty with the United States to adopt the dollar and eliminate all risk of a devaluation like Brazil's. . . . . "Brazil's sovereign credit-worthiness has taken a turn for the worse," wrote Carl Ross, analyst at Bear Stearns & Co. . . . . At the end of December, Brazil had reserves of $43 billion, including a $9.3 billion first disbursement from the International Monetary Fund as part of a $41.5 billion international credit line to shore up reserves. . . . . . 6:58 AM FREE TRADE BRINGS IN WORST TRADE DEFICIT ON RECORD: Trade Deficit Rises, Setting Record Early - In a sign of how fast the American economy was growing at the end of the year and how quickly many other economies were slowing, the U.S. trade deficit widened sharply in November, setting a record for a year in just 11 months. . . . . . . As consumers and businesses took advantage of import bargains and exporters struggled to sell in shrinking markets, the gap between American exports and imports jumped to $15.5 billion from $13.5 billion in October, the Commerce Department reported Thursday. . . . . . . With December remaining to be counted, the deficit for 1998 has already reached $153.9 billion, making it the worst year for trade since 1987, when the deficit was $153.4 billion, the previous record. . . . . . . "This is a pretty lousy report," said William Dudley, chief economist at Goldman, Sachs. . . . . . . The rise in the trade deficit is actually worse than the figures indicate because import prices have been falling in dollar terms as the currencies of Asian and Latin American countries have weakened and the world market for raw materials from copper to oil has plunged. On average, imported goods are 3.5 percent cheaper than a year earlier, while the cost of foreign petroleum products is down more than 34 percent. That means the volume of imports is even bigger than the statistics would indicate. . . . . . . . Politically, the bulging trade deficit has become a serious concern for the Clinton administration, underscored by the president's harsh words for Japanese steelmakers in his State of the Union address Tuesday night and his call for a new round of global trade talks. The administration had already been urging the Europeans to import more, saying that the United States could not be the importer of only resort. . . . DECLARATION & DISCLAIMER ========== CTRL is a discussion and informational exchange list. Proselyzting propagandic screeds are not allowed. Substance—not soapboxing! These are sordid matters and 'conspiracy theory', with its many half-truths, misdirections and outright frauds is used politically by different groups with major and minor effects spread throughout the spectrum of time and thought. That being said, CTRL gives no endorsement to the validity of posts, and always suggests to readers; be wary of what you read. CTRL gives no credeence to Holocaust denial and nazi's need not apply. Let us please be civil and as always, Caveat Lector. ======================================================================== Archives Available at: http://home.ease.lsoft.com/archives/CTRL.html http:[EMAIL PROTECTED]/ ======================================================================== To subscribe to Conspiracy Theory Research List[CTRL] send email: SUBSCRIBE CTRL [to:] [EMAIL PROTECTED] To UNsubscribe to Conspiracy Theory Research List[CTRL] send email: SIGNOFF CTRL [to:] [EMAIL PROTECTED] Om
