Dollar probes new euro depths as rate chasm looms

[villager]

Source: Marketwatch

Dollar probes new euro depths as rate chasm looms

Bernanke, Weber comments clearly show Fed, ECB on divergent rate paths

By William L. Watts & Lisa Twaronite, MarketWatch


SAN FRANCISCO (MarketWatch) -- The greenback cracked against its European counterpart Wednesday, as investors braced for more U.S. interest rate cuts to prop up the sagging economy even as inflation rears its head.

After the euro broke through key technical levels late Tuesday, it continued to charge higher and set new historical records since the European currency began trading in January 1999. The 15-nation currency was last up 0.7% to $1.5117, after earlier rising as high as $1.5144.

The British pound sterling was buying $1.9814, down from a Wednesday high of $1.9970 and from $1.9869 late Tuesday. See real-time currency prices.

The dollar bought 106.45 yen, down from 107.21 yen late Tuesday.

The dollar index, which measures the greenback against a basket of six major currencies, was at 74.540, down from 74.712 late Tuesday. The index earlier hit a record low of 74.070. The Australian dollar was last up 0.8% against its U.S. counterpart at $0.9415, after earlier rising to a 24-year high of $0.9429.

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Read more: http://www.marketwatch.com/news/story/dollar-probes-new-euro-depths/story.aspx?guid=%7B072B309D-C464-40DC-B61C-38F41B90A9EA%7D

[msongs]

1. once again people who save money and invest responsibly are being screwed by the government

banks raise rates and fees and cut interest payments to way below inflation rates, then wonder why people are unhappy with their banks.
meanwhile top management rakes in tens of millions a year in salary and bonuses for driving their banks into the ground.

ain't America great in that way?

Msongs
Riverside CA

[Warpy]

2. Since the Euro was introduced, the dollar has lost 55% of

its value against it. That means all wealth holders who ever dream of traveling outside the country have to realize that their wealth has been cut in half by this administration and its reckless fiscal policies.

We can't afford another one of these GOP bozos. We can't even afford another conservative Democrat who is willing to let Reaganomics and its massive transfer of wealth from the working to the rich keep going.

The GOP especially is completely out of ideas. Holding down wages didn't make them richer, it crushed the consumer market. Cutting services didn't make them richer, it just created more people who don't seek help until they are desperate and cost ten times as much. Cutting their taxes didn't make them richer, it just caused a massive deficit that put the dollar's value into a downward spiral that shows signs of accelerating. Cutting Fed rates has done nothing but push the dollar down even faster. Creating a permanent war economy didn't provide jobs, just another big drain on the treasury, you guessed it, pushing the dollar down.

Even the wealthy have to be coming around and realizing their holy dogma simply doesn't work, that it makes everybody poorer no matter what the numbers on the first page of their portfolio report say.

[villager]

3. there will be some disgruntled plutocrats at the next Bohemian Grove gathering!

"How can all our plans be backfiring!? We can even steal elections in broad daylight now!," etc...

[Mountainman]

4. People need to understand that the end result of conservative ideology is total collapse of our

society.

[villager]

6. some of us have known that since Reagan got in...

n/t

[MarkR1717]

9. The problem lies deeper...

...Capitalism is wrong. Savings and property should be confiscated for the benefit of the masses. Let's show the filthy Capitali$t Bu$h! The contents of all Pension Funds, and the Federal Reserve should be distributed to the needy!

[tabasco]

11. Join the Army right here, sparky:

www.goarmy.com

[Mountainman]

12. I assume you are one of the blind followers of conservative ideology.

It shows that you cannot correctly define the opposite. I always wonder where those thoughts come from. They sure aren't based in reality.

Think for one moment, how has your life been helped the the past 7 years by Bush?

[MarkR1717]

13. Bu$h is history. We must.......

....distribute the land and wealth to the needy. Ownership is wrong, property is wrong.

[Commie Pinko Dirtbag]

15. Enjoy you're stay, idiot. We sure are. You're good comedy. -nt

[Commie Pinko Dirtbag]

16. I can't believe I typed "you're" instead of "your." The moranity must be contagious. -nt

[reprobate]

17. I can only assume that you are using irony here. Otherwise please tell us why....

....most European democratic socialist states have a higher wage, longer vacations, better health, longer life span, lower infant mortality, etc. Meanwhile, a huge number of Americans are simply not making it anymore. This generation for this first time in the history of the nation is not looking forward to a higher standard of living than their parents. Even the lucky ones who managed to graduate from college are facing debts that they will not repay in their working lifetines.

Remember that Corporatism is a synonym for Fascism.

[annabanana]

7. It makes you wonder which way they'll bolt next.. Sometimes I feel

like a ladybug in a room full of big kangaroos..

[bulloney]

5. And once again, Bernanke's solution is to lower interest rates.

Among other things, all this does is increase debt. Do these clowns really think we're gonna borrow our way into prosperity?

[Art_from_Ark]

20. Unfortunately, some of these clowns actually do believe that

this is all you need to become prosperous:

[Doctor Cynic]

8. Can anyone say stagflation yet? n/t

[roamer65]

10. Hyperinflation will soon pay a visit to Amerika.

[Supersedeas]

14. expect the Business Princesses to point to the boom for exporters

[donkeyotay]

19. The export boom is like Big Foot. Many claim to have seen it,

but it seems hard to prove. Googling "weak dollar export boom" brings up old articles. I've been wondering what we're exporting besides weapons and fraud. I finally saw a PBS business news story on the Port of LA, and they said the shipping containers leaving port were often filled with things like bails of recycled paper and steel from recycled cars, and commodities: wheat and lumber, for example.

Some European companies are seeing our labor as cheap enough to shift production here, so maybe that changes the trade balance. I don't know. But there seem to be precious few areas of real export growth. The only one I came across was green technology.

[Hieronymus]

18. Actually, the euro is worth $1.53871. That's $1.54 ........

http://www.xe.com/ucc/convert.cgi