the dollar to become a ragged-arse third world currency
_______________________________________________________________________________
[shamelessly pirated from another newsgroup]
No end in sight to dollar's descent.
...................................................
Federal Reserve's insistence on rock-bottom interest rates triggers currency rout.
Charlotte Denny, economics correspondent
Tuesday January 6, 2004
The Guardian
http://www.guardian.co.uk/business/story/0,3604,1116814,00.html
Sterling powered to its highest level against the dollar yesterday since its humiliating ejection
from Europe's exchange rate mechanism 11 years ago as the American currency entered the
new year facing a renewed wave of selling.
Weekend comments by a senior Federal Reserve official signaling that the US central bank
was likely to stick to its policy of rock bottom interest rates triggered the dollar rout.
Traders dumped the greenback after Ben Bernanke, a member of the Federal Reserve Board,
told a weekend meeting of American economists that the Fed had "the luxury of being patient".
Mr Bernanke's comments sent the dollar to a fresh record low of $1.2695 against the euro
and $1.8065 against the pound - its lowest level since Black Wednesday in September 1992.
The Federal Reserve cut borrowing costs to a 54-year low of 1% last June.
The American authorities appear to be in no hurry to follow the example of central banks
in Britain and Australia, which have already begun raising rates in response to improving
global growth.
"We have an economy growing quite nicely, but the Fed is showing no intention of hiking rates,"
said Hans Guenter Redeker, the chief foreign exchange strategist at BNP Paribas in London.
The low level of American rates has reduced the appeal of investing in the dollar at a time when
the US needs to attract growing sums of over seas investment to fund its current account deficit.
"If the Fed does not see a weak dollar as an inflationary threat, it has little reason to raise
interest rates and the trend of dollar weakness will continue,"
said Shahab Jalinoos, a senior currency strategist at ABN Amro.
Analysts said that the greenback's decline was likely to continue, with the US authorities
apparently relaxed about the currency's fall and worries about the country's ballooning
current account deficit weighing on the market.
"There is a general feeling in the market that there is little to stop the dollar's fall,"
said Adam Cole, a senior currency strategist at Crédit Agricole Indosuez.
But the damage the soaring euro is inflicting on exports is causing growing concern in Europe's
capitals.
German officials want finance ministers from the seven leading economies to discuss the dollar
when they meet in Florida in early February, G7 sources said.
Analysts said the key to the meeting would be the stance of Washington, which has so far
kept mum on the weak dollar.
"The dollar's fall has been orderly so far, but if it breaks through technical support levels at
around $1.28, it could easily accelerate,"
said Nick Parsons, a currency strategist at Commerzbank.
"If it starts to hit the stock or bond markets, the US attitude would turn on a dime,"
he added.
Mr Bernanke said it was a mistake only to look at the dollar's sharp drop against the euro,
adding that the greenback's fall against a broad basket of currencies had been much smaller.
The risk of a "dollar crisis" was low, he maintained.
While European companies which depend on exports to the US are suffering from the high euro,
they are coping better than expected, said a spokesman for Germany's association for
exporters and foreign trade, André Schwarz.
"The situation is not so dramatic,"
he said, noting that demand for European goods remained strong.
_______________________________________________________________________________
.
|
|
| User: "Saint Isidore of Laytonville" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
06 Jan 2004 01:51:06 PM |
|
|
Oh, we'll keep changing the design until we get it right.
The Psychedelick Pope
Saint Isidore of Laytonville
^Ö^ Patron Saint of the Internet ^Ö^
°°^Ö^ °°
http://apple2.org.za/gswv/me/
All I want to do is WOMP WOMP!!
.
|
|
|
|
| User: "Ex." |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
06 Jan 2004 01:49:01 PM |
|
|
The only way to keep jobs in America is to keep the currency at Third World
levels ... if you're not willing to work at the wages that Mr. Singh is then
Lah-Dee-Dah goes the multinationals.
Pretty soon, even living in Canada will look good.
/ex
<grub@internet.charitydays.co.uk> wrote in message
news:683mvvgimshfmsl2nnv0khlpkabfauber0@4ax.com...
: the dollar to become a ragged-arse third world currency
:
____________________________________________________________________________
___
: [shamelessly pirated from another newsgroup]
:
:
:
:
: No end in sight to dollar's descent.
: ..................................................
:
:
:
: Federal Reserve's insistence on rock-bottom interest rates triggers
currency rout.
:
: Charlotte Denny, economics correspondent
: Tuesday January 6, 2004
: The Guardian
: http://www.guardian.co.uk/business/story/0,3604,1116814,00.html
:
:
: Sterling powered to its highest level against the dollar yesterday since
its humiliating ejection
: from Europe's exchange rate mechanism 11 years ago as the American
currency entered the
: new year facing a renewed wave of selling.
:
: Weekend comments by a senior Federal Reserve official signaling that the
US central bank
: was likely to stick to its policy of rock bottom interest rates triggered
the dollar rout.
:
: Traders dumped the greenback after Ben Bernanke, a member of the Federal
Reserve Board,
: told a weekend meeting of American economists that the Fed had "the luxury
of being patient".
:
: Mr Bernanke's comments sent the dollar to a fresh record low of $1.2695
against the euro
: and $1.8065 against the pound - its lowest level since Black Wednesday in
September 1992.
:
: The Federal Reserve cut borrowing costs to a 54-year low of 1% last June.
:
: The American authorities appear to be in no hurry to follow the example of
central banks
: in Britain and Australia, which have already begun raising rates in
response to improving
: global growth.
:
: "We have an economy growing quite nicely, but the Fed is showing no
intention of hiking rates,"
: said Hans Guenter Redeker, the chief foreign exchange strategist at BNP
Paribas in London.
:
: The low level of American rates has reduced the appeal of investing in the
dollar at a time when
: the US needs to attract growing sums of over seas investment to fund its
current account deficit.
:
: "If the Fed does not see a weak dollar as an inflationary threat, it has
little reason to raise
: interest rates and the trend of dollar weakness will continue,"
: said Shahab Jalinoos, a senior currency strategist at ABN Amro.
:
: Analysts said that the greenback's decline was likely to continue, with
the US authorities
: apparently relaxed about the currency's fall and worries about the
country's ballooning
: current account deficit weighing on the market.
:
: "There is a general feeling in the market that there is little to stop the
dollar's fall,"
: said Adam Cole, a senior currency strategist at Crédit Agricole
Indosuez.
:
: But the damage the soaring euro is inflicting on exports is causing
growing concern in Europe's
: capitals.
:
: German officials want finance ministers from the seven leading economies
to discuss the dollar
: when they meet in Florida in early February, G7 sources said.
:
: Analysts said the key to the meeting would be the stance of Washington,
which has so far
: kept mum on the weak dollar.
:
: "The dollar's fall has been orderly so far, but if it breaks through
technical support levels at
: around $1.28, it could easily accelerate,"
: said Nick Parsons, a currency strategist at Commerzbank.
:
: "If it starts to hit the stock or bond markets, the US attitude would turn
on a dime,"
: he added.
:
: Mr Bernanke said it was a mistake only to look at the dollar's sharp drop
against the euro,
: adding that the greenback's fall against a broad basket of currencies had
been much smaller.
:
: The risk of a "dollar crisis" was low, he maintained.
:
: While European companies which depend on exports to the US are suffering
from the high euro,
: they are coping better than expected, said a spokesman for Germany's
association for
: exporters and foreign trade, André Schwarz.
:
: "The situation is not so dramatic,"
: he said, noting that demand for European goods remained strong.
:
:
____________________________________________________________________________
___
:
.
|
|
|
| User: "DDB" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
06 Jan 2004 02:55:46 PM |
|
|
"Ex." <Eat.Healthy@Turdmail.com> wrote in message
news:6jEKb.11266$BA6.410516@news20.bellglobal.com...
The only way to keep jobs in America is to keep the currency at Third
World
levels ... if you're not willing to work at the wages that Mr. Singh is
then
Lah-Dee-Dah goes the multinationals.
Sionce most americans shop for groceries at their local super market and not
in Europe they won't feel the pinch. The other sie of the argument is that
with these values our products become more attractive and exports pick up,
which forces companies ot hire folsk to make mor product to meet the demand.
One of the best import tariffs in the world as long as its managed properly.
Pretty soon, even living in Canada will look good.
/ex
<grub@internet.charitydays.co.uk> wrote in message
news:683mvvgimshfmsl2nnv0khlpkabfauber0@4ax.com...
: the dollar to become a ragged-arse third world currency
:
____________________________________________________________________________
___
: [shamelessly pirated from another newsgroup]
:
:
:
:
: No end in sight to dollar's descent.
: ..................................................
:
:
:
: Federal Reserve's insistence on rock-bottom interest rates triggers
currency rout.
:
: Charlotte Denny, economics correspondent
: Tuesday January 6, 2004
: The Guardian
: http://www.guardian.co.uk/business/story/0,3604,1116814,00.html
:
:
: Sterling powered to its highest level against the dollar yesterday since
its humiliating ejection
: from Europe's exchange rate mechanism 11 years ago as the American
currency entered the
: new year facing a renewed wave of selling.
:
: Weekend comments by a senior Federal Reserve official signaling that the
US central bank
: was likely to stick to its policy of rock bottom interest rates
triggered
the dollar rout.
:
: Traders dumped the greenback after Ben Bernanke, a member of the
Federal
Reserve Board,
: told a weekend meeting of American economists that the Fed had "the
luxury
of being patient".
:
: Mr Bernanke's comments sent the dollar to a fresh record low of $1.2695
against the euro
: and $1.8065 against the pound - its lowest level since Black Wednesday
in
September 1992.
:
: The Federal Reserve cut borrowing costs to a 54-year low of 1% last
June.
:
: The American authorities appear to be in no hurry to follow the example
of
central banks
: in Britain and Australia, which have already begun raising rates in
response to improving
: global growth.
:
: "We have an economy growing quite nicely, but the Fed is showing no
intention of hiking rates,"
: said Hans Guenter Redeker, the chief foreign exchange strategist at
BNP
Paribas in London.
:
: The low level of American rates has reduced the appeal of investing in
the
dollar at a time when
: the US needs to attract growing sums of over seas investment to fund its
current account deficit.
:
: "If the Fed does not see a weak dollar as an inflationary threat, it has
little reason to raise
: interest rates and the trend of dollar weakness will continue,"
: said Shahab Jalinoos, a senior currency strategist at ABN Amro.
:
: Analysts said that the greenback's decline was likely to continue, with
the US authorities
: apparently relaxed about the currency's fall and worries about the
country's ballooning
: current account deficit weighing on the market.
:
: "There is a general feeling in the market that there is little to stop
the
dollar's fall,"
: said Adam Cole, a senior currency strategist at Crédit Agricole
Indosuez.
:
: But the damage the soaring euro is inflicting on exports is causing
growing concern in Europe's
: capitals.
:
: German officials want finance ministers from the seven leading economies
to discuss the dollar
: when they meet in Florida in early February, G7 sources said.
:
: Analysts said the key to the meeting would be the stance of Washington,
which has so far
: kept mum on the weak dollar.
:
: "The dollar's fall has been orderly so far, but if it breaks through
technical support levels at
: around $1.28, it could easily accelerate,"
: said Nick Parsons, a currency strategist at Commerzbank.
:
: "If it starts to hit the stock or bond markets, the US attitude would
turn
on a dime,"
: he added.
:
: Mr Bernanke said it was a mistake only to look at the dollar's sharp
drop
against the euro,
: adding that the greenback's fall against a broad basket of currencies
had
been much smaller.
:
: The risk of a "dollar crisis" was low, he maintained.
:
: While European companies which depend on exports to the US are suffering
from the high euro,
: they are coping better than expected, said a spokesman for Germany's
association for
: exporters and foreign trade, André Schwarz.
:
: "The situation is not so dramatic,"
: he said, noting that demand for European goods remained strong.
:
:
____________________________________________________________________________
___
:
.
|
|
|
| User: "Bradly Wiebe" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
06 Jan 2004 06:44:50 PM |
|
|
DDB wrote:
"Ex." <Eat.Healthy@Turdmail.com> wrote in message
news:6jEKb.11266$BA6.410516@news20.bellglobal.com...
The only way to keep jobs in America is to keep the currency at Third=
World
levels ... if you're not willing to work at the wages that Mr. Singh =
is
then
Lah-Dee-Dah goes the multinationals.
Sionce most americans shop for groceries at their local super market an=
d not
in Europe they won't feel the pinch. The other sie of the argument is t=
hat
with these values our products become more attractive and exports pick =
up,
which forces companies ot hire folsk to make mor product to meet the de=
mand.
One of the best import tariffs in the world as long as its managed prop=
erly.
A lower dollar makes good for exports, not imports. A low dollar is only=
good
for the nation if that nation is a net exporter. The US imports far more=
than
it exports, so whether you would like to believe it or not, most american=
s will
feel the pinch. A perfect example of which is trade with Canada. The Ca=
nadian
dollar gained about 15 cents on the US dollar in 2003, and is continuing =
the
trend in 2004. 1 billion dollars (C$) worth of trade crosses the border =
into
the US from Canada every day. January 1 2003, that billion dollars worth=
of
trade cost the US approximately 630 million dollars. January 1 2004 that=
same
billion dollars worth of trade cost the US approximately 770 million doll=
ars,
leaving a difference of 140 million dollars. That's 140 million dollars =
more
per day, and that's just trade with Canada (about 50 cents per person). =
Imagine
what the total is with all countries involved that the the US imports mor=
e from
than exports to.
The falling US dollar is really hurting countries like Canada. The US wi=
ll
import less and less from them, hurting their economies as well.
Pretty soon, even living in Canada will look good.
/ex
<grub@internet.charitydays.co.uk> wrote in message
news:683mvvgimshfmsl2nnv0khlpkabfauber0@4ax.com...
: the dollar to become a ragged-arse third world currency
:
_______________________________________________________________________=
_____
___
: [shamelessly pirated from another newsgroup]
:
:
:
:
: No end in sight to dollar's descent.
: ..................................................
:
:
:
: Federal Reserve's insistence on rock-bottom interest rates triggers=
currency rout.
:
: Charlotte Denny, economics correspondent
: Tuesday January 6, 2004
: The Guardian
: http://www.guardian.co.uk/business/story/0,3604,1116814,00.html
:
:
: Sterling powered to its highest level against the dollar yesterday =
since
its humiliating ejection
: from Europe's exchange rate mechanism 11 years ago as the American
currency entered the
: new year facing a renewed wave of selling.
:
: Weekend comments by a senior Federal Reserve official signaling tha=
t the
US central bank
: was likely to stick to its policy of rock bottom interest rates
triggered
the dollar rout.
:
: Traders dumped the greenback after Ben Bernanke, a member of the
Federal
Reserve Board,
: told a weekend meeting of American economists that the Fed had "the=
luxury
of being patient".
:
: Mr Bernanke's comments sent the dollar to a fresh record low of $1.=
2695
against the euro
: and $1.8065 against the pound - its lowest level since Black Wednes=
day
in
September 1992.
:
: The Federal Reserve cut borrowing costs to a 54-year low of 1% last=
June.
:
: The American authorities appear to be in no hurry to follow the exa=
mple
of
central banks
: in Britain and Australia, which have already begun raising rates in=
response to improving
: global growth.
:
: "We have an economy growing quite nicely, but the Fed is showing no=
intention of hiking rates,"
: said Hans Guenter Redeker, the chief foreign exchange strategist =
at
BNP
Paribas in London.
:
: The low level of American rates has reduced the appeal of investing=
in
the
dollar at a time when
: the US needs to attract growing sums of over seas investment to fun=
d its
current account deficit.
:
: "If the Fed does not see a weak dollar as an inflationary threat, i=
t has
little reason to raise
: interest rates and the trend of dollar weakness will continue,"
: said Shahab Jalinoos, a senior currency strategist at ABN Amro.
:
: Analysts said that the greenback's decline was likely to continue, =
with
the US authorities
: apparently relaxed about the currency's fall and worries about the
country's ballooning
: current account deficit weighing on the market.
:
: "There is a general feeling in the market that there is little to s=
top
the
dollar's fall,"
: said Adam Cole, a senior currency strategist at Cr=E9dit Agricole=
Indosuez.
:
: But the damage the soaring euro is inflicting on exports is causing=
growing concern in Europe's
: capitals.
:
: German officials want finance ministers from the seven leading econ=
omies
to discuss the dollar
: when they meet in Florida in early February, G7 sources said.
:
: Analysts said the key to the meeting would be the stance of Washing=
ton,
which has so far
: kept mum on the weak dollar.
:
: "The dollar's fall has been orderly so far, but if it breaks throug=
h
technical support levels at
: around $1.28, it could easily accelerate,"
: said Nick Parsons, a currency strategist at Commerzbank.
:
: "If it starts to hit the stock or bond markets, the US attitude wou=
ld
turn
on a dime,"
: he added.
:
: Mr Bernanke said it was a mistake only to look at the dollar's shar=
p
drop
against the euro,
: adding that the greenback's fall against a broad basket of currenci=
es
had
been much smaller.
:
: The risk of a "dollar crisis" was low, he maintained.
:
: While European companies which depend on exports to the US are suff=
ering
from the high euro,
: they are coping better than expected, said a spokesman for Germany'=
s
association for
: exporters and foreign trade, Andr=E9 Schwarz.
:
: "The situation is not so dramatic,"
: he said, noting that demand for European goods remained strong.
:
:
_______________________________________________________________________=
_____
___
:
.
|
|
|
| User: "Bill Bonde the oblique allusion in lieu of the frontal attack" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
06 Jan 2004 07:01:51 PM |
|
|
Bradly Wiebe wrote:
DDB wrote:
"Ex." <Eat.Healthy@Turdmail.com> wrote in message
news:6jEKb.11266$BA6.410516@news20.bellglobal.com...
The only way to keep jobs in America is to keep the currency at Third
World
levels ... if you're not willing to work at the wages that Mr. Singh is
then
Lah-Dee-Dah goes the multinationals.
Sionce most americans shop for groceries at their local super market and not
in Europe they won't feel the pinch. The other sie of the argument is that
with these values our products become more attractive and exports pick up,
which forces companies ot hire folsk to make mor product to meet the demand.
One of the best import tariffs in the world as long as its managed properly.
A lower dollar makes good for exports, not imports. A low dollar is only good
for the nation if that nation is a net exporter. The US imports far more than
it exports, so whether you would like to believe it or not, most americans will
feel the pinch. A perfect example of which is trade with Canada. The Canadian
dollar gained about 15 cents on the US dollar in 2003, and is continuing the
trend in 2004. 1 billion dollars (C$) worth of trade crosses the border into
the US from Canada every day. January 1 2003, that billion dollars worth of
trade cost the US approximately 630 million dollars. January 1 2004 that same
billion dollars worth of trade cost the US approximately 770 million dollars,
leaving a difference of 140 million dollars. That's 140 million dollars more
per day, and that's just trade with Canada (about 50 cents per person). Imagine
what the total is with all countries involved that the the US imports more from
than exports to.
The falling US dollar is really hurting countries like Canada. The US will
import less and less from them, hurting their economies as well.
You can't seem to make up your mind who will be hurt, can you?
.
|
|
|
| User: "Bradly Wiebe" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
06 Jan 2004 08:08:11 PM |
|
|
"Bill Bonde ( the oblique allusion in lieu of the frontal attack )" wrote:
Bradly Wiebe wrote:
DDB wrote:
"Ex." <Eat.Healthy@Turdmail.com> wrote in message
news:6jEKb.11266$BA6.410516@news20.bellglobal.com...
The only way to keep jobs in America is to keep the currency at Third
World
levels ... if you're not willing to work at the wages that Mr. Singh is
then
Lah-Dee-Dah goes the multinationals.
Sionce most americans shop for groceries at their local super market and not
in Europe they won't feel the pinch. The other sie of the argument is that
with these values our products become more attractive and exports pick up,
which forces companies ot hire folsk to make mor product to meet the demand.
One of the best import tariffs in the world as long as its managed properly.
A lower dollar makes good for exports, not imports. A low dollar is only good
for the nation if that nation is a net exporter. The US imports far more than
it exports, so whether you would like to believe it or not, most americans will
feel the pinch. A perfect example of which is trade with Canada. The Canadian
dollar gained about 15 cents on the US dollar in 2003, and is continuing the
trend in 2004. 1 billion dollars (C$) worth of trade crosses the border into
the US from Canada every day. January 1 2003, that billion dollars worth of
trade cost the US approximately 630 million dollars. January 1 2004 that same
billion dollars worth of trade cost the US approximately 770 million dollars,
leaving a difference of 140 million dollars. That's 140 million dollars more
per day, and that's just trade with Canada (about 50 cents per person). Imagine
what the total is with all countries involved that the the US imports more from
than exports to.
The falling US dollar is really hurting countries like Canada. The US will
import less and less from them, hurting their economies as well.
You can't seem to make up your mind who will be hurt, can you?
You didn't read the last two words of the post? I said "as well", which would be
another term for ALSO. I HAVE made up my mind who will be hurt, both countries. My
apologies. I had thought that plain english would have been quite easy to
understand. I will rephrase my post in more laymans terms for you.
US buys lots of stuff from countries like Canada so that means that it is gonna cost
more to buy it because the dollar isn't worth as much as it used to be so that means
that it will buy less and less from other countries cause it can't afford to so the
countries it buys from will be sad cause the US isn't buying their stuff as much
anymore.
Is that more understandable for you?
.
|
|
|
| User: "Ed Medlin" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
07 Jan 2004 10:08:34 AM |
|
|
US buys lots of stuff from countries like Canada so that means that it is
gonna cost
more to buy it because the dollar isn't worth as much as it used to be so
that means
that it will buy less and less from other countries cause it can't afford
to so the
countries it buys from will be sad cause the US isn't buying their stuff
as much
anymore.
Canada's leading import to the US is petroleum. Canada is keeping the price
down. Contrary to what a lot of folks believe, Canada is the LEADING
petroleum importer to the US, and will stay that way. Automotive products is
the second most, and those are the only two exports that would really make a
dent in Canada's economy overall. The Canadian dollar has made inroads into
the US dollar also, so that will not hurt Canada either. Overall, the
lowering of the value of the US dollar against the Euro will have little or
no effect on Canada.
EM
---
Outgoing mail is certified Virus Free.
Checked by AVG anti-virus system (http://www.grisoft.com).
Version: 6.0.558 / Virus Database: 350 - Release Date: 1/2/2004
.
|
|
|
| User: "Bradly Wiebe" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
07 Jan 2004 01:38:43 PM |
|
|
Ed Medlin wrote:
US buys lots of stuff from countries like Canada so that means that it is
gonna cost
more to buy it because the dollar isn't worth as much as it used to be so
that means
that it will buy less and less from other countries cause it can't afford
to so the
countries it buys from will be sad cause the US isn't buying their stuff
as much
anymore.
Canada's leading import to the US is petroleum. Canada is keeping the price
down. Contrary to what a lot of folks believe, Canada is the LEADING
petroleum importer to the US, and will stay that way. Automotive products is
the second most, and those are the only two exports that would really make a
dent in Canada's economy overall. The Canadian dollar has made inroads into
the US dollar also, so that will not hurt Canada either. Overall, the
lowering of the value of the US dollar against the Euro will have little or
no effect on Canada.
The US dollar is weakening against almost all world currencies, Canada
included. With a weaker dollar the US will be less enthusiastic about
purchasing Canadian products. Agricultural goods are also a large part of the
equation, as well as lumber products. Like it or not, purchasing from Canada is
going to get more expensive, period. With that in mind, how can you possibly
assume that it will have little effect on the Canadian economy?
EM
---
Outgoing mail is certified Virus Free.
Checked by AVG anti-virus system (http://www.grisoft.com).
Version: 6.0.558 / Virus Database: 350 - Release Date: 1/2/2004
.
|
|
|
|
|
| User: "Bill Bonde the oblique allusion in lieu of the frontal attack" |
|
| Title: Re: the dollar to become a ragged-arse third world currency |
07 Jan 2004 04:35:13 PM |
|
|
Bradly Wiebe wrote:
"Bill Bonde ( the oblique allusion in lieu of the frontal attack )" wrote:
Bradly Wiebe wrote:
DDB wrote:
"Ex." <Eat.Healthy@Turdmail.com> wrote in message
news:6jEKb.11266$BA6.410516@news20.bellglobal.com...
The only way to keep jobs in America is to keep the currency at Third
World
levels ... if you're not willing to work at the wages that Mr. Singh is
then
Lah-Dee-Dah goes the multinationals.
Sionce most americans shop for groceries at their local super market and not
in Europe they won't feel the pinch. The other sie of the argument is that
with these values our products become more attractive and exports pick up,
which forces companies ot hire folsk to make mor product to meet the demand.
One of the best import tariffs in the world as long as its managed properly.
A lower dollar makes good for exports, not imports. A low dollar is only good
for the nation if that nation is a net exporter. The US imports far more than
it exports, so whether you would like to believe it or not, most americans will
feel the pinch. A perfect example of which is trade with Canada. The Canadian
dollar gained about 15 cents on the US dollar in 2003, and is continuing the
trend in 2004. 1 billion dollars (C$) worth of trade crosses the border into
the US from Canada every day. January 1 2003, that billion dollars worth of
trade cost the US approximately 630 million dollars. January 1 2004 that same
billion dollars worth of trade cost the US approximately 770 million dollars,
leaving a difference of 140 million dollars. That's 140 million dollars more
per day, and that's just trade with Canada (about 50 cents per person). Imagine
what the total is with all countries involved that the the US imports more from
than exports to.
The falling US dollar is really hurting countries like Canada. The US will
import less and less from them, hurting their economies as well.
You can't seem to make up your mind who will be hurt, can you?
You didn't read the last two words of the post? I said "as well", which would be
another term for ALSO.
Like I said, you can't make up your mind which countries will be hurt
more by this.
I HAVE made up my mind who will be hurt, both countries. My
apologies. I had thought that plain english would have been quite easy to
understand. I will rephrase my post in more laymans terms for you.
Oh, I see, exactly the same pain for both?
US buys lots of stuff from countries like Canada so that means that it is gonna cost
more to buy it because the dollar isn't worth as much as it used to be so that means
that it will buy less and less from other countries cause it can't afford to so the
countries it buys from will be sad cause the US isn't buying their stuff as much
anymore.
Is that more understandable for you?
I understood from the start. The point is, of course, that the US will
buy less from the other countries and be able to export more thus
levelling out the trade deficit, certainly that's the idea.
--
"Throw me that lipstick, darling, I wanna redo my stigmata."
+-Jennifer Saunders, "Absolutely Fabulous"
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| User: "Bradly Wiebe" |
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| Title: Re: the dollar to become a ragged-arse third world currency |
07 Jan 2004 06:40:02 PM |
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"Bill Bonde ( the oblique allusion in lieu of the frontal attack )" wrote:
Bradly Wiebe wrote:
"Bill Bonde ( the oblique allusion in lieu of the frontal attack )" wrote:
Bradly Wiebe wrote:
DDB wrote:
"Ex." <Eat.Healthy@Turdmail.com> wrote in message
news:6jEKb.11266$BA6.410516@news20.bellglobal.com...
The only way to keep jobs in America is to keep the currency at Third
World
levels ... if you're not willing to work at the wages that Mr. Singh is
then
Lah-Dee-Dah goes the multinationals.
Sionce most americans shop for groceries at their local super market and not
in Europe they won't feel the pinch. The other sie of the argument is that
with these values our products become more attractive and exports pick up,
which forces companies ot hire folsk to make mor product to meet the demand.
One of the best import tariffs in the world as long as its managed properly.
A lower dollar makes good for exports, not imports. A low dollar is only good
for the nation if that nation is a net exporter. The US imports far more than
it exports, so whether you would like to believe it or not, most americans will
feel the pinch. A perfect example of which is trade with Canada. The Canadian
dollar gained about 15 cents on the US dollar in 2003, and is continuing the
trend in 2004. 1 billion dollars (C$) worth of trade crosses the border into
the US from Canada every day. January 1 2003, that billion dollars worth of
trade cost the US approximately 630 million dollars. January 1 2004 that same
billion dollars worth of trade cost the US approximately 770 million dollars,
leaving a difference of 140 million dollars. That's 140 million dollars more
per day, and that's just trade with Canada (about 50 cents per person). Imagine
what the total is with all countries involved that the the US imports more from
than exports to.
The falling US dollar is really hurting countries like Canada. The US will
import less and less from them, hurting their economies as well.
You can't seem to make up your mind who will be hurt, can you?
You didn't read the last two words of the post? I said "as well", which would be
another term for ALSO.
Like I said, you can't make up your mind which countries will be hurt
more by this.
I never said which country would be hit more. I simply said that it will affect the US's
trading partners as well as the US.
I HAVE made up my mind who will be hurt, both countries. My
apologies. I had thought that plain english would have been quite easy to
understand. I will rephrase my post in more laymans terms for you.
Oh, I see, exactly the same pain for both?
I never said that
US buys lots of stuff from countries like Canada so that means that it is gonna cost
more to buy it because the dollar isn't worth as much as it used to be so that means
that it will buy less and less from other countries cause it can't afford to so the
countries it buys from will be sad cause the US isn't buying their stuff as much
anymore.
Is that more understandable for you?
I understood from the start. The point is, of course, that the US will
buy less from the other countries and be able to export more thus
levelling out the trade deficit, certainly that's the idea.
That is the idea, however, a nations import/export trading practices change considerably
more slowly than does the international confidence in the value of said nations dollar.
--
"Throw me that lipstick, darling, I wanna redo my stigmata."
+-Jennifer Saunders, "Absolutely Fabulous"
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| User: "Bill Bonde the oblique allusion in lieu of the frontal attack" |
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| Title: Re: the dollar to become a ragged-arse third world currency |
08 Jan 2004 12:59:05 AM |
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Bradly Wiebe wrote:
"Bill Bonde ( the oblique allusion in lieu of the frontal attack )" wrote:
I understood from the start. The point is, of course, that the US will
buy less from the other countries and be able to export more thus
levelling out the trade deficit, certainly that's the idea.
That is the idea, however, a nations import/export trading practices change considerably
more slowly than does the international confidence in the value of said nations dollar.
I'm not sure if you think you have a point. Changing the ratios to more
balance is a requirement. We cannot continue to export so little and
import so much. The US must no longer be the export destination of final
choice, the dumping ground for the excess industrial capacity of the
world.
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| User: "Bradly Wiebe" |
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| Title: Re: the dollar to become a ragged-arse third world currency |
08 Jan 2004 07:02:35 PM |
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"Bill Bonde ( the oblique allusion in lieu of the frontal attack )" wrote:
Bradly Wiebe wrote:
"Bill Bonde ( the oblique allusion in lieu of the frontal attack )" wrote:
I understood from the start. The point is, of course, that the US will
buy less from the other countries and be able to export more thus
levelling out the trade deficit, certainly that's the idea.
That is the idea, however, a nations import/export trading practices change considerably
more slowly than does the international confidence in the value of said nations dollar.
I'm not sure if you think you have a point. Changing the ratios to more
balance is a requirement. We cannot continue to export so little and
import so much. The US must no longer be the export destination of final
choice, the dumping ground for the excess industrial capacity of the
world.
Looks like were kind of on the same page, only looking at it from different perspectives, and
yes, I think I have a point. What I have been getting at is that with the failing dollar the
US must attempt to change and become more of an exporting nation than it currenty is. If the
trend of decreasing dollar value continues, it will get worse for the US until exports do
increase, which takes more time. The problem is that the US dollar although losing value, is
still valued higher than many other world currencies, leaving the exports of those nations
still more attractive.
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| User: "Wyle Coyote" |
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| Title: Re: the dollar to become a ragged-arse third world currency |
06 Jan 2004 06:15:45 PM |
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x-no-archive:yes
Not only is the dollar to become a ragged-arse third world currency, but
if USA keeps this up it will itself become a ragged-arse third world country.
<grub@internet.charitydays.co.uk> wrote in message news:683mvvgimshfmsl2nnv0khlpkabfauber0@4ax.com...
the dollar to become a ragged-arse third world currency
_______________________________________________________________________________
[shamelessly pirated from another newsgroup]
No end in sight to dollar's descent.
..................................................
Federal Reserve's insistence on rock-bottom interest rates triggers currency rout.
Charlotte Denny, economics correspondent
Tuesday January 6, 2004
The Guardian
http://www.guardian.co.uk/business/story/0,3604,1116814,00.html
Sterling powered to its highest level against the dollar yesterday since its humiliating ejection
from Europe's exchange rate mechanism 11 years ago as the American currency entered the
new year facing a renewed wave of selling.
Weekend comments by a senior Federal Reserve official signaling that the US central bank
was likely to stick to its policy of rock bottom interest rates triggered the dollar rout.
Traders dumped the greenback after Ben Bernanke, a member of the Federal Reserve Board,
told a weekend meeting of American economists that the Fed had "the luxury of being patient".
Mr Bernanke's comments sent the dollar to a fresh record low of $1.2695 against the euro
and $1.8065 against the pound - its lowest level since Black Wednesday in September 1992.
The Federal Reserve cut borrowing costs to a 54-year low of 1% last June.
The American authorities appear to be in no hurry to follow the example of central banks
in Britain and Australia, which have already begun raising rates in response to improving
global growth.
"We have an economy growing quite nicely, but the Fed is showing no intention of hiking rates,"
said Hans Guenter Redeker, the chief foreign exchange strategist at BNP Paribas in London.
The low level of American rates has reduced the appeal of investing in the dollar at a time when
the US needs to attract growing sums of over seas investment to fund its current account deficit.
"If the Fed does not see a weak dollar as an inflationary threat, it has little reason to raise
interest rates and the trend of dollar weakness will continue,"
said Shahab Jalinoos, a senior currency strategist at ABN Amro.
Analysts said that the greenback's decline was likely to continue, with the US authorities
apparently relaxed about the currency's fall and worries about the country's ballooning
current account deficit weighing on the market.
"There is a general feeling in the market that there is little to stop the dollar's fall,"
said Adam Cole, a senior currency strategist at Crédit Agricole Indosuez.
But the damage the soaring euro is inflicting on exports is causing growing concern in Europe's
capitals.
German officials want finance ministers from the seven leading economies to discuss the dollar
when they meet in Florida in early February, G7 sources said.
Analysts said the key to the meeting would be the stance of Washington, which has so far
kept mum on the weak dollar.
"The dollar's fall has been orderly so far, but if it breaks through technical support levels at
around $1.28, it could easily accelerate,"
said Nick Parsons, a currency strategist at Commerzbank.
"If it starts to hit the stock or bond markets, the US attitude would turn on a dime,"
he added.
Mr Bernanke said it was a mistake only to look at the dollar's sharp drop against the euro,
adding that the greenback's fall against a broad basket of currencies had been much smaller.
The risk of a "dollar crisis" was low, he maintained.
While European companies which depend on exports to the US are suffering from the high euro,
they are coping better than expected, said a spokesman for Germany's association for
exporters and foreign trade, André Schwarz.
"The situation is not so dramatic,"
he said, noting that demand for European goods remained strong.
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