Dollar Hits New Lows Vs Euro

[Tab]

NEW YORK (Reuters) - The dollar slumped on Tuesday after news that Russia may increase the share of euros in its reserves drove the European unit to a new lifetime high.

Confirmation of last week's talk Russia might make such a move triggered another bout of dollar selling, underscoring the depth of bearish sentiment toward the U.S. currency.

Already under heavy selling pressure from dealers concerned the U.S. is struggling to fund its record trade and current account deficits, the greenback buckled again on Tuesday.
http://story.news.yahoo.com/news?tmpl=story&ncid=749&e=1&u=/nm/20041123/bs_nm/markets_forex_dc

"The greenback buckled again"...

Nice economic stewardship, George. Done playing with our national credit cards yet? The bill's going to show up soon. Then we'll own lots of toys, but won't have the cash to drive them.

[joeybee12]

1. And this is just the beginning....

...we're looking at a major sell-off soon. We are sooooooooooooooo screwed!

[DBoon]

2. Payback from "Old Europe"

Expect Europeans to buy up US assets at bargain basement prices.

[PROGRESSIVE1]

12. The French owning the Red States!

Now that's funny!!!

[DBoon]

13. Irony would be a French company

buying out Walmart

[VolcanoJen]

17. Or, the Saudis.

:-(

[cal04]

3. Euro touches $1.31 for first time

Dollar bearishness continued as U.S. trading progressed Tuesday, pushing the euro-dollar to $1.31 for the first time since the common currency's 1999 launch. The dollar continues to fall as a means to rebalance the U.S. trade gap. Its decline against the euro was acclerated overnight when a Russian official said the central bank there is contemplating turning more currency reserves into euros.

http://cbs.marketwatch.com/news/newsfinder/pulseone.asp?guid={56830169-E31F-40A5-A6AD-E715A3E70870}&siteid=

[Bozita]

4. That headline now appears weekly

It showed up last week ... and the week before that.

[Pig_Latin_Lover]

5. This is America's fault

For re-electing Bush. The global economy isn't adjusting well to his re-election. Bush has caused too much instability over the last 4 years, and everyone anticipates that he will cause even more.

I wonder if the freepers really understand how the money works in the big picture.

[wrate]

25. freeper = oblivious

[JanMichael]

6. I am stunned

no, really.

[ewagner]

7. So this explains

Putin's snarky grin in Chile?

[donhakman]

8. This is wonderfull news for all you who

followed George Soros' lead and converted your dollars into euros.

Time to cash back to dollars before the US inflation rate eats up your 42% profit.

Even if you only put in $400K last year you made $175K. Best put that in real estate.

With China's currency pegged to the dollar we will still get all those cheap chinese manufactured goods up to and including cars starting next year.

A weak dollar hasn't helped Europe and sooner or later the confidence in the US dollar due to high deficit spending will be disinvested by foriegn banks that used to buy our treasury notes.

Then a hard rain is agonna fall and the great hawk of inflation will blow accross our American land.




PS When Cheney says "deficits don't matter" He is only saying that deficits won't matter to him.

[grasswire]

21. real estate?

Why real estate when the predictions are for a crash in real estate soon?

[Art_from_Ark]

24. Not to mention the liquidity problems with real estate,

as well as the property taxes, maintenance costs, etc.

[UL_Approved]

9. We get what we deserve

They gave us 4 years to prove it was all a big mistake. We responded by going even deeper into the red (pun, and literally). They got a clear message (from their point of view) that we are just a half-assed dictatorship with no merit to them. They are covering their own asses, as they would be wise to do. They won't let us continue with our way of doing business, and the backlash starts here.

[donhakman]

10. IF China does this we are going to drown

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=104&topic_id=2741454&mesg_id=2741454

[cliss]

11. They want this.

This administration is only too transparent. They want the dollar to tank because Bush's corporate cronies can export a lot more.

Think of them as a doctor. The patient is sick. As a matter of fact, he's near death. The doctor stands nearby, watching. He doesn't want the patient to die, but he's not going to do anything until the patient goes into flat-lining.

The problem with Bush and his cronies as "The Doctor" is that they're so incompetent. They really don't know what they're doing. More like a witch doctor, standing nearby with his voodoo remedies.

That patient is in trouble.......

[mmonk]

14. Bought international bond funds today.

I've had enough of this.

[Bozita]

15. When Bush took over, the Euro was 93 US cents

Now it's $1.31

http://www.x-rates.com/cgi-bin/hlookup.cgi?ccode=USD&ccode2=EUR&frMonth=0&frDay=23&frYear=2001

[Massachusetts]

16. testing

just testing something

[CatholicEug]

18. I'm no economist

How does the US address this problem? Assume we're stuck with this admin for the full four years. Solutions?

[wildwww2]

19. Blame the liberals. As always. It does not matter that it makes no sense.

The media whores will sell it. That is their job. And they are paid well. The media whores will tell us that Je$u$ Bu$h has the answer. And Bu$h will find another country besides Iraq to start a war crime with. For no reason at all. Except the reason of scaring people into not realizing how screwed we are.
Peace
Wildman
Al Gore is My President

[Ima]

20. IIRC

The Russians have been quietly dumping dollars, since before 911. Wasn't there something about the Russian government, encouraging their citizens to turn in their greenbacks?

[Endangered Specie]

22. Should we start calling it "reichsmark"?

circa 1920's designs. Or "rubble rubels"

[Art_from_Ark]

27. "Notgeld"

"Notgeld" was the term for emergency ("Not") German paper money ("geld") issued after World War I that suffered from such high inflation that at its worst, people needed more than they could carry just to buy daily necessities.

I have some "Notgeld" notes, with the highest having a face value of 1,000,000 marks. Yippee! I'm rich! :+

[Endangered Specie]

28. Too bad, back then, it probably wasn't worth the paper

it was printed on nor the ink.

[Endangered Specie]

23. Karma for all the Canadian-dollar jokes.

[goodboy]

26. Guess I won't be going to Amsterdam again for a while...

1000US dollars only gives me about 740 Euro.

Fuck that.

[Commie Pinko Dirtbag]

31. Come to Brazil instead

The Real is also rising against the US$, but much more slowly. In US$, everything's cheap here.

[struggle4progress]

29. kick

:kick:

[Just Me]

30. I'd love to know where all the neocon's investments are going,...

,...beyond the military industrial/energy complex. How much you wanna' bet that they'll make a killing bankrupting the US?