I love this photo, and I love finally getting mileage out of the “loller euro” tag, considering how long the dollar’s been the laughingstock of currency exchange booths in Western European airports. But anyway. In the last few days the euro has set a 4-year low against the dollar, Germany got pissy with its short sellers, and Paul Volcker recently came out saying hey, the whole mess might just disintegrate:

Volcker said May 14 that the Greek fiscal crisis creates the risk of a “potential disintegration” of the common currency. Former U.S. Treasury Secretary John Snow suggested in an interview last week that the euro may not survive unless member nations merge budget policies.

Jim Sinclair – who knows a little bit about framing everything in the context of how it’s good for some yellow metal I won’t name here – weighed in with this in his recent newsletter:

Volcker would seek any advantage he could for the benefit of the US.

You must remember that his activities in the 80s totally slammed both South America and Africa when he ran overnight money to above 20% and 10 year to 14 7/8%. The developing nations all imploded based on what the Chairman deduced as an action in the best interest of the USA.

It very well might be seen as in the best interest of the USA to not have a euro to compete with.

(I’m sure “P.S. – Gold to a zillion!” was also in there somewhere.)

Based on charts, Sinclair indicated that if the euro sees $1.20 that Volcker’s probably on to something, and that if it continues down to $1.10, its dying in a fire is darned near inevitable.

The other Jim – Jim Rogers – is onboard with this idea as well, though he gave the euro 15 to 20 years to live. You almost have to feel bad for the little thing, being bludgeoned by a greenback and two guys with big bars of gold in their hands. Anybody rooting for the underdog?