Quote:
Originally posted by allanuk
The dollar has hit a series of historic lows against just about every currency.
It's breaking all sorts of records.
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Those aren't records nor are they historic lows - other against the Euro which has only been around a few years. Even there, you can look at one of the old euro-basket indexes and see it is no more than a decade long low . The dollar is the lowest it's been in a few years - less then a decade though.
The dollar index is in about the place today as at the beginning of 1997. It was lower in 1996 than it is today. Much like the very high rise of the dollar in the mid-1980s and it's subsequent return to normal levels, it makes just as much sense to ask why the dollar rose in the 1990s as much as to ask why it is falling now.