US dollar value now sinking more than acceptable

[normbc9]

I just converted my money at the exchange and in three weeks the US dollar has sunk again in relation tot he Euro. My only concern is that the US economy is sinking, not that the other denominations are growing. What are you all thinking?

 

[karrie]

the Canadian dollar has grown in reference to many other currencies as well, not just the American. I'll look for a link, but hubby and I were just having this discussion and reading articles on it.

 

[mrmom2]

Od course the value of the US dollar has nothing to do with the amount of money you yanks owe and borrow everyday .Have you ever seen the US debt clock ?Your treasury bonds really are worth nothing same as your paper dollar :-(

 

[gerryh]

Od course the value of the US dollar has nothing to do with the amount of money you yanks owe and borrow everyday .Have you ever seen the US debt clock ?Your treasury bonds really are worth nothing same as your paper dollar :-(

Of course it doesn't...... it's someone elses fault....I'm waiting to hear some moron american politition blame it on Canada.

 

[earth_as_one]

Its obvious who will take the fall for this and it won't be Canada.

Dubya's destruction of the American economy rather than his war crimes will result in most Americans judging him America's worst President.

 

[Zzarchov]

The debt is really inconsequential, America really is a special case in the world today with its money. As long as that doesn't change its golden.

Who can guess the main reason why the world as it is today makes America special in its moneys value ?(free greenie)

 

[MikeyDB]

The United States and Canada have prospered on the backs of Third World Nations for decades. The U.S. has practiced slavery and lately even imprisonment and torture through proxy relationships in many nations that have resulted in juntas coups and "regime-change" to yield "prosperity" to American and Canadian people. From coffee and sugar to clothing and electronics, Canadians and Americans didn't care that children worked in sweatshops under contract to huge multi-national American corporations. Only when toys contaminated by lead are sold in Toys'R'Us or poisoned animal food, or other products that bear potential for real harm are distributed by these greedy corporations, does anyone pay any attention....

North America's petroleum based "prosperity" has destroyed the planet. The greed driving this wanton destruction is the greed of consumers fed by men and women, governments and corporations without integrity and without any sense of the future...people without vision.

It's entirely appropriate that fires burn in California and British Columbia, it's entirely appropriate that bridges collapse in America and Canada.

Divereting billions to maintain an artificial "prosperity" for generations on the backs of many and various people who Canadians and Americans are happy to keep living in poverty and vulnerable to corrupt leaderships is finally coming to a "head". Social change always takes place, what the morons who are currently in charge of the world have forgotten is that change has naturally taken very long periods to evolve and emerge. That isn't the world that we all live in today.

We have corrupt governments bound to greedy empire builders interested in nothing but insulating and protecting the weathy at the cost of a planet and the cost of millions upon millions of people who suffer for this imbalance.

There are worse times ahead.

Worse times because even if you had some kind of solution that would address the enormous imbalances that see millions poor sick and homeless, working for the "Man" in New York and Toronto...the balance of nature itself has been upset.

Looks good on Humankind....

The microcosm of Israel vs. Palestine is a metaphor for the entire species.

 

[I think not]

It's entirely appropriate that fires burn in California and British Columbia, it's entirely appropriate that bridges collapse in America and Canada.

You are one phucked up individual. Seek help. Fast.

 

[darkbeaver]

US DOLLAR VALUE NOW SINKING MORE THAN ACCEPTABLE?
Not acceptable to whom? It's perfectly acceptable for me to see the US dollar become a collectors item, a tacky little piece of toilet paper which I'll enjoy using. That four percent of the human population will suffer horrible inflation and attentant earned misery pleases me no end. The American people may find justice to much for thier constitution. Too phucking bad.

 

[I think not]

Now now DB, leave the venom for the next Communist get together.

 

[darkbeaver]

Come comrade ITN we go for leetle drive.:smile:

 

[Andem]

I just converted my money at the exchange and in three weeks the US dollar has sunk again in relation tot he Euro. My only concern is that the US economy is sinking, not that the other denominations are growing. What are you all thinking?

No, the US Dollar is not exactly falling because the US economy is sinking. The current US administration has an apparant policy of a low dollar, but it looks more like they have no policy because they're not paying much attention to the situation publicly. Foreign investers have also lost much faith in the dollar.

The obvious reason why the US would support a low dollar policy is because a low dollar helps quell foreign debt. The United States still faces a seemingly irreversible deficit.

edit: of course, the public doesn't have any idea of actual inflation numbers

 

[Toro]

I just converted my money at the exchange and in three weeks the US dollar has sunk again in relation tot he Euro. My only concern is that the US economy is sinking, not that the other denominations are growing. What are you all thinking?

One of the reasons why the dollar is sinking is because of the weakening economy, but there are other reasons as well - excess monetary creation, fears about the trade deficit, fears about central bank selling or at least not buying, fears of inflation, the war in Iraq and America's reduced standing in the world, and so on.

However, the American dollar cannot fall forever. The other governments will not allow it. The dollar is almost certainly undervalued now - interest differentials do not explain the decline, nor does purchasing power parity, which would imply a much higher US dollar.

 

[Niflmir]

However, the American dollar cannot fall forever. The other governments will not allow it. The dollar is almost certainly undervalued now - interest differentials do not explain the decline, nor does purchasing power parity, which would imply a much higher US dollar.

Yeah, that is what I was hearing. Some people were suggesting that the fed might just wait for other nations to bail it out. Its definitely an issue to watch, whatever happens.

 

[normbc9]

What really concerns me is the picture being painted of the US economy by the financial community. The numbers on the DOW and NASDAQ really have no bearing on most of the middle and lower income classes. While it is made to look as if it does I never see anything but my purchasing power decrease. Like it or not, implementing measures to curb inflation in the US are just delaying the time when it really shows up at our door. The US dollar is a joke too.

 

[earth_as_one]

The fall of the American dollar will affect everyone. It will cross class and national boundaries. The biggest losers will be people who have American dollars. The biggest holders of American dollars are:

1) The US
2) Japan
3) China

Japan, Saudi Arabia, Kuwait, most of Europe, India, Mexico and Canada will likely help try to bail the US out to some degree. China and Russia will likely make decisions based on how it affects their longterm interests. That might mean letting the US free fall or even giving the US a good push. Certainly these nations have little reason to concern themselves with US threats about dealing with Iran.

I imagine most of the rest of the world is divided as far as how they feel and what they will do.

One result is that the Euro will become the dominant currency of internationnal trade.

 

[normbc9]

Thanks earth_as_one,
The dollar should be on a par with other developed nations currencies and I really hope that happens but the manipulations here in the US are now getting scary. The failures of small businesses, the dramatic increase in home mortage foreclosures and other items. I have always advocated that the Canadian and US currencies could be on a par value and with time the Mexican peso would increase too. But the interior manipulation now is reaching the point that there has to be someone in high power who can trigger a major investigation of the entire US financial system including all of the major banking firms. Much of the issues realted to the failures I have described I believe were manipulated a long time ago by creating legislation which favors those banking groups. Now the losers are the borrowers.

 

[normbc9]

Unbridled greed does come with a price and I'll bet we've only scratched the surface of the economic impacts here in the US. Bush, Cheney and company have raided the place; tripled their wealth and are now looking to other income sources. But the US taxpayer will be the loser. Double digit inflation numbers will be upon us soon. I just hope the US Bearer Bond holders don't show up at US banks demanding their money. Most are from the Asian sectors.

 

[Unforgiven]

It's a good time to prick up your ears and start looking for that investment that will make your pile. As Toro mentioned, it can't fall forever. So here is the moment to prepare before hand. Fortune favours those who are ready to take advantage when opportunity presents itself. While this may puddle for a short while, I suggest the rise will take off quickly when it does.

 

[YoungJoonKim]

I suggest the rise will take off quickly when it does.

Sure it will
Its just that U.S. is not same country as it was in 30 years ago...[*cough cough* EURO/ASIAN rise..]