Will the value of the $ bounce back?

[Narz]

That story is from 2003.. its November in France, aka cold weather.

Haha, opps, I looked at the date on top instead of date of the article.

I typed into google to find out about the 2003 heat wave and was surprised that there was another heat wave in November.

Anyway, it still applies.

 

[a_propagandist]

As long as the slide is not too great, inflation only makes our goods cheaper for other countries. It's another way of balancing out trade deficits. This inflation can be very profitable for the United States if it takes advantage of it.

 

[Theige]

Maybe this will show to the world more clearly how important currency valuations are, and that more pressure should be put on China to play fair with it's currency.

I've felt for a long time they've been cheating the system.

 

[a_propagandist]

They have. We should transfer our currencies to the yuan. Since they can only reevaluate positively, our worth can only go up.

 

[Xenocrates]

The low RMB was always favourable to us. It meant that they had to sell a lot to us to buy a little from us. It meant they had to work a lot harder.

Many of China's resources are imported so it wasn't as beneficial to their exports as you might think. The truth is simply that they are very good at manufacturing. There's one town in China (Qiaotou) that makes 80% of the World's zips (124,000 miles worth a year or half way to the moon) and 60% of the World's buttons (15 billion a year). The closest the US have to that is Detroit that produces 70% of the World's stab wounds

 

[a_propagandist]

We need to beat them to remain a power.

The reason for that is to produce a trade imbalance. If you devalue your currency, you decrease buying power. If you decrease buying power, you can lower or keep standard of living low. They can't buy our crap; we can buy theirs. So that kills competition in a way.

 

[JerichoHill]

That we can agree on

 

[Xenocrates]

I like the writing of Paul Craig Roberts (Assistant Secretary of the Treasury in the Reagan administration); he's passionate.

http://www.counterpunch.org/roberts11072007.html

Foreign leaders, observing that offshoring and war are accelerating America's relative economic decline, no longer treat the US with the deference to which Washington is accustomed. Ecuador's president, Rafael Correa, recently refused Washington's demand to renew the lease on the Manta air base in Ecuador. He told Washington that the US could have a base in Ecuador if Ecuador could have a military base in the US.

Nice play I wonder where he would want to put it; maybe Oregon?

If the Europeans devalue to continue exporting to the US our energy will cost more. It's a no-win situation for us, unless we adapt .

 

[classical_hero]

Every Currency has times of going low. I remember a few years ago the Aussie was less than half a US Dollar and now it will soon reach parity. Currencies will always do that, but right now there are many problems with the US economy which means that once they are figured out then we will see the Dollar rise again, but right now the Dollar will continue to fall until the economy gets back on track.

 

[El_Machinae]

I had a rival move to Austrailia to get a job that paid more than he was getting here (Canada). He was quite the braggart. I was heavily tempted to not inform him that Austrailian dollars were worth less than CAD, let me tell you.

 

[Abaddon]

So how is the dollar doing now?

 

[JerichoHill]

its been one month. Hardly any time for any meaningful change to occur in any economy.

How is the dollar doing against what? Commodities? Currencies?

I dont try and look at trends in the short term, because thats frought with issues and problems and the mayhem of the media.

Sides, with the news on construction starts, it should fall, because umm, well our economy is going to go into recession (likely, at least) and thats what happens.

 

[Abaddon]

Against the pound is where i was basing things

 

[JerichoHill]

Well, probably not much change at the moment.

'Sides, its been a month, which is hardly any time at all, especially in financial markets.

http://www.x-rates.com/d/GBP/USD/graph30.html

According to this graph, the dollar has appreciated against the pound in the last 30 days.

 

[mrt144]

I had a rival move to Austrailia to get a job that paid more than he was getting here (Canada). He was quite the braggart. I was heavily tempted to not inform him that Austrailian dollars were worth less than CAD, let me tell you.

lmao, you had a "rival"

 

[sourboy]

It will bounceback in time. Everything fluctuates.

 

[Narz]

It will bounceback in time. Everything fluctuates.

And some things (99% of cultures, species, businesses, etc.) fluctuate right off the map given enough time.

 

[warpus]

My arch-nemesis moved to Japan. We exchange taunts via email.

 

[sourboy]

And some things (99% of cultures, species, businesses, etc.) fluctuate right off the map given enough time.

Yes, but some are guided, others neglected.