How is the US Dollar getting stronger? - GoFuckYourself.com

Verbal · 10-02-2008, 06:10 AM

Can somebody smarter than me please explain?

Karupted Charles · 10-02-2008, 06:13 AM

Maybe its not, the others are just finally starting to weaken as bad news in other countries hits and people realize that with free trade the US dollar weak is a disadvantage to them.

Enemator · 10-02-2008, 06:18 AM

Quote:

Originally Posted by Karupted Charles

Maybe its not, the others are just finally starting to weaken as bad news in other countries hits and people realize that with free trade the US dollar weak is a disadvantage to them.

That and I think because the demand for oil is lessening. Oil prices go down which is good for the economy so the USD gets a bit stronger.

Vendot · 10-02-2008, 07:28 AM

You idiot....... the US dollar is weakening seriously against a number of currencies such as the chinese Yuan. Its only strengthening against the UK pound and the Euro because theyre more fucked up than the american economy right now and so their currencies are weakening.

Klen · 10-02-2008, 07:29 AM

Who care,as long it goes up i am happy.

Ethersync · 10-02-2008, 07:35 AM

Simply the Pound, Euro and Dollar are all racing to the bottom. At the moment bad economic news in Europe has pushed the Pound and Euro down more than the bad economic news in America. Also, there is some manipulation going on with central banks to prop the dollar up. Don't get too excited though. It's a temporary thing. The dollar is fucked.

Enemator · 10-02-2008, 07:46 AM

Quote:

Originally Posted by Vendot

You idiot....... the US dollar is weakening seriously against a number of currencies such as the chinese Yuan. Its only strengthening against the UK pound and the Euro because theyre more fucked up than the american economy right now and so their currencies are weakening.

You call him an idiot?

Fucking moron.

Saying the Euro and UK economies are more fucked up than the US ones is super fucking stupid. Are we having debates on 700 billion fucking dollar rescue plans? No!

Are we exchanging dollars 1:1.37? YES!

Freak.

I agree with the fact that our economy IS indeed not doing it's best right now but your statement is just plain fucking stupid.

Note to self: use less "fucking"

seeandsee · 10-02-2008, 07:50 AM

less trading make $ stronger?

bobby666 · 10-02-2008, 07:54 AM

i don't care but i am happy to get more euros from my atm nowadays

directfiesta · 10-02-2008, 07:55 AM

Quote:

Originally Posted by seeandsee

less trading make $ stronger?

You have part of the answer...

Also, with less or no credit available ( the banks one ...), less new dollars printed...So the value is less diluted...

Just think of a company...100 shares each worth $100.00 each ( 10 000.00 total value ) ...
Then the company decides to bring in a new partner at a cost of $5000.00, payable in new shares ...
Company must emit another 100 shares, bringing the value down to $50.00 per share....

Dilution ....

Ethersync · 10-02-2008, 07:57 AM

Quote:

Originally Posted by Enemator

You call him an idiot?

Saying the Euro and UK economies are more fucked up than the US ones is super fucking stupid. Are we having debates on 700 billion fucking dollar rescue plans? No!

Not 700 billion dollar rescue plans... Just 420 billion...
http://www.bloomberg.com/apps/news?p...efer=worldwide

WiredGuy · 10-02-2008, 07:59 AM

Everyone else's currency is getting weaker.
WG

Ethersync · 10-02-2008, 07:59 AM

Quote:

Originally Posted by directfiesta

You have part of the answer...

Also, with less or no credit available ( the banks one ...), less new dollars printed...So the value is less diluted...

Just think of a company...100 shares each worth $100.00 each ( 10 000.00 total value ) ...
Then the company decides to bring in a new partner at a cost of $5000.00, payable in new shares ...
Company must emit another 100 shares, bringing the value down to $50.00 per share....

Dilution ....

While there may be some truth to what you are saying that is not what is happening now. The central banks are injecting unprecedented amounts of liquidity into the markets now which will bite us all in the ass in the form of inflation and/or higher taxes.

Worth reading...
http://www.financialsense.com/Market...2008/1001.html

Twinkie · 10-02-2008, 08:00 AM

The USD is app. 25% undervalued compared to a basket of world currencies - correcting for relative size. The USD is strengthening because the FED more actively tries to stimulate the economy, whereas the European central bank exclusively is focusing on inflation. This indicates that US will be the safest medium term investment bet as recovery will go faster. This is leading investors to buy USD, selling EUR, pushing up the all mighty dollar.

FYI: The 700 bill. rescue plan “only” adds 7% to the current US deficit. The US has much bigger probs. ahead..

DWB · 10-02-2008, 08:01 AM

Quote:

Originally Posted by Ethersync

Simply the Pound, Euro and Dollar are all racing to the bottom. At the moment bad economic news in Europe has pushed the Pound and Euro down more than the bad economic news in America. Also, there is some manipulation going on with central banks to prop the dollar up. Don't get too excited though. It's a temporary thing. The dollar is fucked.

Agreed.

Ethersync · 10-02-2008, 08:04 AM

Quote:

Originally Posted by Twinkie

The USD is app. 25% undervalued compared to a basket of world currencies - correcting for relative size. The USD is strengthening because the FED more actively tries to stimulate the economy, whereas the European central bank exclusively is focusing on inflation. This indicates that US will be the safest medium term investment bet as recovery will go faster. This is leading investors to buy USD, selling EUR, pushing up the all mighty dollar.

FYI: The 700 bill. rescue plan ?only? adds 7% to the current US deficit. The US has much bigger probs. ahead..

The Federal Reserve has a dual mandate.

1) "Protect" the economy.
2) "Protect" the dollar (e.g. keep inflation down).

The European Central Bank has only 1 mandate.

1) Protect the Euro (e.g. keep inflation down).

Because of Germany's history with hyperinflation and the political aftermath of it (e.g. Hitler) they insisted that protecting the currency be the sole mandate of the ECB. Only then would they agree to use the Euro as their currency.

Bossman · 10-02-2008, 08:07 AM

Quote:

Originally Posted by Enemator

Saying the Euro and UK economies are more fucked up than the US ones is super fucking stupid. Are we having debates on 700 billion fucking dollar rescue plans? No!

France wants the other EU countries to make a 300 billion euro (= 420 billion USD) rescue package for the European financial sector... the big european socialist welfare states have been hurting for years, because of their fucking everyone with insane rules, high taxes, huge deficits and now the time is getting closer, when the price will have to be paid.

Now of course the french were quick to say that the 300 billion is only a rumor

so lets just keep pretending that europe is not bleeding right now...

Bossman · 10-02-2008, 08:09 AM

Quote:

Originally Posted by Ethersync

Simply the Pound, Euro and Dollar are all racing to the bottom. At the moment bad economic news in Europe has pushed the Pound and Euro down more than the bad economic news in America. Also, there is some manipulation going on with central banks to prop the dollar up. Don't get too excited though. It's a temporary thing. The dollar is fucked.

All the big FIAT currencies are backed by each other, so it will be a race to the bottom. If the USD is fucked, then so is the Euro

slavdogg · 10-02-2008, 08:10 AM

Quote:

Originally Posted by Vendot

You idiot....... the US dollar is weakening seriously against a number of currencies such as the chinese Yuan. Its only strengthening against the UK pound and the Euro because theyre more fucked up than the american economy right now and so their currencies are weakening.

if thats true US currencies plan is right on track
we need a stronger Yuan to compete in the world, plus have them buy more US made shit
euro got too strong for US, we needed a way to crash it.
Strong dollar is very bullish for us economy and stock markets,
strong dollar will hurt US exporters, but that will get made up by a lot in other areas.

lets hope this lasts.

Ethersync · 10-02-2008, 08:16 AM

Quote:

Originally Posted by Bossman

If the USD is fucked, then so is the Euro

I don't disagree. It will be interesting to watch how this all unfolds. Interesting time to be alive

xmas13 · 10-02-2008, 08:24 AM

Interesting.

BV · 10-02-2008, 08:30 AM

Better keep an eye on your "Regional Billing" transactions.

I have noticed that the "Additional Realized Revenue" for the Euro has dropped over 30%.

cgu · 10-02-2008, 09:01 AM

Simple Supply and Demand.

http://en.wikipedia.org/wiki/Japanes...t_price_bubble

"As Japanese products became less competitive overseas, the low consumption rate began to bear on the economy, causing a deflationary spiral."

Look at the trillions WIPED out of our market!!! That means everyone has a LOT LESS $ TO SPEND so those of us who WANT $ are going to have to do MORE for it.

The 700 billion $ bailout is partly GREED because we know we can print that $ and inflate away gains made by people holding USD.

Bottom line is I don't know many people making MORE $ so therefore demand for STUFF is going to be less, driving down the prices for domestic goods and services, but countries that aren't closely tied to our economy (?) we could see prices of that go up.

pigman · 10-02-2008, 09:33 AM

The american stock market have lost least percentages.

Ethersync · 10-02-2008, 10:05 AM

Quote:

"Looking at the euro against the dollar, it's like matching one dog against another dog. Who's got the most fleas?'' said Alan Ruskin, head of international currency strategy at RBS Greenwich Capital Markets in Greenwich, Connecticut. ``Dollar fundamentals don't seem to matter. It's extremely hard to fight this move into the dollar.''

http://www.bloomberg.com/apps/news?p...iq4&refer=home

ilbb · 10-02-2008, 10:12 AM

check this video that explains all:

http://video.google.com/videoplay?do...32603609670233

ADL Colin · 10-02-2008, 10:19 AM

Quote:

Originally Posted by Ethersync

Not 700 billion dollar rescue plans... Just 420 billion...
http://www.bloomberg.com/apps/news?p...efer=worldwide

Yup.

We're awful close to a worldwide recession. Many countries have the same problems as the US. Insolvent banks, burst housing bubbles (down 12% in UK in last year), credit crunches with central banks flooding economies with liquidity, deflated assets and the need for rescues.

There is a recognition that even though the US has a lot of problems that it is further down the road in addressing them than many other countries. The US is close to passing the "bailout bill" while similar legislation is just now being brought up in other countries. Many US congresspersons and senators said they have plans to work on addressing the problems with the credit derivatives, housing and undoing some of the deregulation next session. many other countries that deregulated their mortgage industries haven't gotten that far yet.

Antonio · 10-02-2008, 10:35 AM

Quote:

Originally Posted by Ethersync

Simply the Pound, Euro and Dollar are all racing to the bottom. At the moment bad economic news in Europe has pushed the Pound and Euro down more than the bad economic news in America. Also, there is some manipulation going on with central banks to prop the dollar up.

^^^ WORD!

Quote:

Originally Posted by Ethersync

Don't get too excited though. It's a temporary thing. The dollar is fucked.

^^^ not so sure about that, I excpect from the end of the year or the begninning of the netx one the USD to get and remain really strong, right now it's way too volatile and nobody can predict which way it'll sway

Ethersync · 10-02-2008, 11:02 AM

Quote:

Originally Posted by Antonio

^^^ WORD!
^^^ not so sure about that, I excpect from the end of the year or the begninning of the netx one the USD to get and remain really strong, right now it's way too volatile and nobody can predict which way it'll sway

I expect the Dollar will probably continue to trend up the rest of this year and maybe into next year. Long term though I think the Dollar is done for.

10-02-2008, 06:10 AM	#1
Verbal Confirmed User Join Date: Dec 2001 Location: Tampa, FL Posts: 3,420	How is the US Dollar getting stronger? Can somebody smarter than me please explain?

10-02-2008, 06:13 AM	#2
Karupted Charles Confirmed User Industry Role: Join Date: Jul 2001 Location: MI Posts: 1,662	Maybe its not, the others are just finally starting to weaken as bad news in other countries hits and people realize that with free trade the US dollar weak is a disadvantage to them. __________________ TPF 2010 "They are eating our sausages!"

10-02-2008, 07:35 AM	#6
Ethersync Confirmed User Join Date: Mar 2008 Location: London, Saint-Tropez, Bermuda, Moscow Posts: 5,289	Simply the Pound, Euro and Dollar are all racing to the bottom. At the moment bad economic news in Europe has pushed the Pound and Euro down more than the bad economic news in America. Also, there is some manipulation going on with central banks to prop the dollar up. Don't get too excited though. It's a temporary thing. The dollar is fucked. Last edited by Ethersync; 10-02-2008 at 07:36 AM..

10-02-2008, 07:50 AM	#8
seeandsee Check SIG! Industry Role: Join Date: Mar 2006 Location: Europe (Skype: gojkoas) Posts: 50,945	less trading make $ stronger? __________________ BUY MY SIG - 50$/Year Contact here

10-02-2008, 07:54 AM	#9
bobby666 boots are my religion Join Date: Nov 2005 Location: Heart of europe Posts: 21,765	i don't care but i am happy to get more euros from my atm nowadays __________________

10-02-2008, 07:28 AM	#4
Vendot Confirmed User Industry Role: Join Date: May 2002 Location: Malaysia Posts: 3,376	You idiot....... the US dollar is weakening seriously against a number of currencies such as the chinese Yuan. Its only strengthening against the UK pound and the Euro because theyre more fucked up than the american economy right now and so their currencies are weakening.

10-02-2008, 07:29 AM	#5
Klen Industry Role: Join Date: Aug 2006 Location: Little Vienna Posts: 32,235	Who care,as long it goes up i am happy.

10-02-2008, 07:59 AM	#12
WiredGuy Pounding Googlebot Industry Role: Join Date: Aug 2002 Location: Canada Posts: 34,494	Everyone else's currency is getting weaker. WG __________________ I play with Google.

10-02-2008, 08:00 AM	#14
Twinkie Registered User Join Date: Sep 2008 Posts: 13	The USD is app. 25% undervalued compared to a basket of world currencies - correcting for relative size. The USD is strengthening because the FED more actively tries to stimulate the economy, whereas the European central bank exclusively is focusing on inflation. This indicates that US will be the safest medium term investment bet as recovery will go faster. This is leading investors to buy USD, selling EUR, pushing up the all mighty dollar. FYI: The 700 bill. rescue plan “only” adds 7% to the current US deficit. The US has much bigger probs. ahead..

10-02-2008, 08:24 AM	#21
xmas13 Confirmed User Join Date: Dec 2004 Location: GFY Posts: 5,176	Interesting. __________________ ICQ 557504926

10-02-2008, 08:30 AM	#22
BV wtf Industry Role: Join Date: Sep 2001 Location: Bikini State, FL USA Posts: 10,914	Better keep an eye on your "Regional Billing" transactions. I have noticed that the "Additional Realized Revenue" for the Euro has dropped over 30%.

10-02-2008, 09:01 AM	#23
cgu Confirmed User Industry Role: Join Date: Jan 2004 Posts: 188	Simple Supply and Demand. http://en.wikipedia.org/wiki/Japanes...t_price_bubble "As Japanese products became less competitive overseas, the low consumption rate began to bear on the economy, causing a deflationary spiral." Look at the trillions WIPED out of our market!!! That means everyone has a LOT LESS $ TO SPEND so those of us who WANT $ are going to have to do MORE for it. The 700 billion $ bailout is partly GREED because we know we can print that $ and inflate away gains made by people holding USD. Bottom line is I don't know many people making MORE $ so therefore demand for STUFF is going to be less, driving down the prices for domestic goods and services, but countries that aren't closely tied to our economy (?) we could see prices of that go up. __________________ http://en.wikipedia.org/wiki/Class_action

10-02-2008, 09:33 AM	#24
pigman Confirmed User Join Date: Aug 2006 Posts: 760	The american stock market have lost least percentages.

10-02-2008, 10:12 AM	#26
ilbb Confirmed User Industry Role: Join Date: May 2005 Location: EU - Czech republic Posts: 3,025	check this video that explains all: http://video.google.com/videoplay?do...32603609670233