Dollar Drops to New All-Time Low Vs. Euro

[villager]

Dollar Drops to New All-Time Low Vs. Euro



By GEIR MOULSON, Associated Press Writer

BERLIN - The U.S. dollar dropped to a new all-time low Tuesday against the euro, which rose to $1.3335 even as new figures showed that U.S. economic growth in the third quarter was stronger than previously thought.

The dollar's persistent slide has been fueled by concern over the U.S. trade and budget deficits, and economists say markets are paying only limited attention to economic data against that background.


The dollar hit its new low against the euro, breaking the previous record of $1.3329 set Friday, shortly after European Central Bank President Jean-Claude Trichet renewed his assertion that the euro's rapid rise against the U.S. currency is "unwelcome." The dollar also slipped against the Japanese yen Tuesday, falling to 102.54 yen from 102.88 yen on Monday.


Because the euro's rise tends to make European products more expensive, European leaders have voiced fears that it might hurt the continent's export-driven economic recovery.


The weak dollar also makes life tougher for Americans living abroad, and the U.S. military announced this week that troops stationed in Europe would receive a significant cost of living increase to help provide some relief.

<snip>

http://news.yahoo.com/news?tmpl=story&u=/ap/20041130/ap_on_bi_ge/euro_dollar

[soleft]

1. Looks like economic warfare

And it may have the same consequences as the warfare waged on the ground, disaster.

[fertilizeonarbusto]

2. That economy is rev-rev-revvin'

:silly:

[KurtNYC]

3. Just wait till they price oil in Euros

oy

[pk_du]

4. Why should they (EU-Govt) worry about exports/trade-deficit

we (US-Govt) obviously dont

[villager]

5. I wonder if they use "rapture" as their same excuse?

I mean, for our Fundies, who needs long-range planning?

[fertilizeonarbusto]

6. Well, they can eat Rapture-brand cat food

If the cats let them. Fuck them. I plan to rub lots of salt over their wounds.

[DinahMoeHum]

7. Let Them Eat Moral Values.

:evilfrown:

[villager]

8. hey, a great slogan!

"Let Them Eat Moral Values"

[genieroze]

10. Hey, let's all max out our credit cards just like Bushco is doing with

American tax dollars. After all, we won't need to pay it back because God Bush told us Jesus is coming to a mall near you. We will spend ourselves silly to that big Rapture Mall in the sky.

[VegasWolf]

9. bush's economy is misfiring on all cylinders. n/t

[cliss]

11. This is Russian Roulette.

The Bush administration is playing with the rest of the world. As the cylinder spins....

[SOS]

12. Speaking of Russia

If Bush continues to anger Putin over the Ukraine, Russia may place even more of their cash reserves into Euros. Russia has already reduced their dollar cah reserves from 75% to 50% of total.

[villager]

13. Will Shrub's bolstering of the Euro...

...make him "popular in the halls of Europe?"

[TrogL]

14. We're gonna have to start dating these threads

We're getting them pretty much every other day.

[Chicago Democrat]

15. We should post the LOW price....along with Headline...

That would be best I think..

[villager]

16. like the "explosions in Baghdad" headlines?

yeah -- the background "music" of the Bush era...

[hatrack]

17. Or "Insurgents Bomb Pipeline" stories . . .

Date-stamping probably a good idea!

[tom II]

18. Weaker dollar is GOOD for America

Since 1999 the dollar's value has plunged up and down, and right now it is a few percent of where it was in 1999, but destined to get much weaker in the next year or two.

This is GOOD for America! It makes American products cheaper overseas and imports from some foreign countries more expensive. This spurs employment & production.

Plus this weakness is being measured against the EURO only. With many other currencies the dollar has gained strength.

As far as a weakening dollar making the world less inclined to invest in American treasury notes; it will not. There is NO alternative for them! What other country's currency is safer than the American dollar? NONE! They will not sell the treasuries they have for the same reason, plus they would take a hit on the current loss in value of the dollar. No, foreign countries will continue buying our debt with their long term extra money because they know that over time the dollar has been the most reliable currency through thick & thin, war and peace.

Anybody that says a weaker dollar is bad is crying the sky is falling!

[Just Me]

20. Would you happen to know when the dollar was this weak.

When was the last time it hit this floor,...if you know?

[Kathy in Cambridge]

21. It hurts ordinary Americans

how can that be GOOD for America?

Your typical RW talking points are glaringly transparent. :eyes:

[Mandate My Ass]

26. GWB has been chosen by awmighty gawd

to liberate us from the evils of Islam and liberals, not necessarily in that order. ;)

[Kathy in Cambridge]

23. Intelligent Design, The Iraq War is Going Great, A Weak $ is Good

what other RW BS have you spun so far?

[Moonbeam_Starlight]

35. Well

he tried to tell us last night that 20,000 injured coming through just ONE military hospital in Germany in the last few years isn't THAT bad.

Yeah, nice, huh?

[shrike]

24. What exports?

Agriculture, natural resources, chemicals and entertainment. All capital intensive industries.

Labor intensive industries have gone overseas. The dollar will never get weak enough to bring those jobs back. Meanwhile, the stuff you and I buy is imported, meaning our costs will go up.

Oh, and there is the little matter of WTO sanctions. If they stick they will offset the positives of a weaker dollar, as I understand it.

[CAcyclist]

25. You know so much - Tell me what happened in the 70's

with the dollar.

[Kathy in Cambridge]

27. Inflation. Lines at the Gas Pumps. Prices through the roof.

[CAcyclist]

29. I suppose Tom 11 would say those were good things. nt

[LivingInTheBubble]

30. no...

Against the euro only? where are you getting this from.

The dollar has been falling against the £ for some time now.

Get your wheelbarrow ready, you might need it come wage day ;)

[Zero Gravitas]

38. Don't forget Poland

The not-so allmighty Greenback has been falling against the Polish Zoylt and many other currencies as well

http://ichart.finance.yahoo.com/1y?usdpln=x

[Moonbeam_Starlight]

34. Actually it is ALSO

weak against the yen and OTHER currencies as well.

Try doing some research before you go blathering on about your kool aid spiked visions.

BTW, I remember you from the thread where you were minimizing the casualties the US has suffered in Iraq. I got your number.

[SOS]

39. The usual fact-checking

from the right....

"right now it is a few percent of where it was in 1999"

December 1999 Euro is exactly 1 to 1.

November 2004 it's $1.33 to 1 Euro.

"With many other currencies the dollar has gained strength'

Really? Which ones?

[Just Me]

19. Oh, my,...

,...that "strong dollar" just keeps getting wimpier.

At least the troops are gonna "receive a significant cost of living increase to help provide some relief."

[Moonbeam_Starlight]

36. And I'll believe THAT when I see it!

that's just so much talk. The troops overseas won't receive a cost of living increase any more than Tom DeLay is going to wake up tomorrow with an ethical streak.

[Mandate My Ass]

22. Same headline, different day

It's like Groundhog Day in LBN with this story.

[CAcyclist]

28. Dollar Devaluation Affects Oil Supply

http://66.102.7.104/search?q=cache:OGHmUnpAjggJ:www.iaee.org/documents/washington/Dollar_and_Oil.pdf+dollar+devaluation+1975&hl=en

According to this study , the dollar is tied to oil:

Dollar devaluation reduces oil supply and increases oil
demand.
Dollar devaluation reduces drilling activties in some areas
such as the North Sea.
Dollar devaluation reduces drilling activities in the oil
producing countries. It reduces their purchasing power and
causes inflation.
Dollar devaluation increases oil demand in Europe and Japan
Dollar devaluation increases oil demand in the US as US
tourists spend their vacations in the US instead of Europe.
*************************************************************

So my conclusion is that if oil companies can't find more oil to sell, they merely need to manipulate the dollar in order to increase demand and reduce competition.

[Name removed]

31. Deleted message

Message removed by moderator. Click here to review the message board rules.

[Kathy in Cambridge]

33. Do you have a PhD in economics?

didn't think so...

[Moonbeam_Starlight]

37. Ok

you "looked" at it. Care to be specific as to how he has a "loose screw?"

Go ahead, we're waiting.

Where's my popcorn?

[Moonbeam_Starlight]

32. AGAIN?

Damn, how many "new lows" are we going to discover?