Zombified US Dollar at 19 month high against Euro.

[Preacher]

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

Oct. 21 (Bloomberg) -- The dollar rose to a 19-month high against the euro on bets the European Central Bank will cut interest rates at a faster pace than the Federal Reserve.

Canada's dollar fell to the lowest against the greenback since August 2005 after the central bank lowered its main lending rate. The Australian currency dropped as policy makers signaled they may cut borrowing further. The yen climbed to near a three-year high against the euro on bets reduced rates will lead investors to sell higher-yielding assets.

``The element of risk aversion helps the dollar and the yen, which has been the trend for a while,'' said Paresh Upadhyaya, who helps manage $50 billion in currency assets as a senior vice president at Putnam Investments LLC in Boston. ``The convergence of interest rates will overtake the risk aversion element to become the most important support for the dollar going forward.''

``The economic fallout of the crisis will lead to more aggressive policy actions in major countries,'' said Tom Fitzpatrick, global head of currency strategy at Citigroup Global Markets Inc. in New York. ``The yen and the dollar will be the beneficiaries.''

tl;dr
In spite awful fundamentals, the US $ and Yen continue to to trounce the Euro, Looney and Australian Dollar.

[Osceola]

HAHAHAHA

TAKE THAT YOU GODDAMN CANADIANS.

[Mikelus Trento]

Thanks for posting some good news. (I think)

[touchmaster]

HAHAHAHA

TAKE THAT YOU GODDAMN CANADIANS.

lol

[Jango]

Wow I had not seen this coming.

HAHAHAHA

TAKE THAT YOU GODDAMN CANADIANS.

Freaking Canadians, just the other day someone gave me change in Canadian Currency... I didn't realize till I got home that my Quarters had a moose on them.

P.S. I love Canadians, just some friendly jesting.

[Ulyaoth]

the $ is still worth less.

[Zuwxiv]

Clearly the US economy is unstoppable at this point.

[Thanatos]

Clearly the US economy is unstoppable at this point.

We're not retreating, we're just... just advancing in another direction! Yeah!

[shadyrome]

We're not retreating, we're just... just advancing in another direction! Yeah!

Surly it's the wrong direction!!

[Gumpfendorfer]

That's because there is a chronic shortage of dollars, nothing to do with anything else.

[The Dude]

Last I knew I was still able to buy more dollars with my euros than euros with my dollars. Not much "trouncing" going on, but I'm glad that your inflation isn't hitting the roof at least xD

[the_mango55]

Most markets worldwide look similar to that right now though, correct?

[mrmouth]

Most markets worldwide look similar to that right now though, correct?

Actually, some markets are in far worse shape than ours. The shoe hasn't really dropped yet for Europe. Let them continue to gloat though...

On a positive note, European politicians, having watched the US struggle, are taking steps to try and avoid what happened in the US. Which some are still saying is inevitable despite the preventative measures being taken by those European countries.


People, divorce yourselves from this idea that the dollar and the economy are all that intertwined. The economy issues have very little if anything to do with the dollar, and vice versa. Whats more, the government is controlling the dollar far more than people know. They are keeping it relatively low for a few reasons, and will bring it up gradually.

[JNS]

I'm studying in spain for a year, so i'm thrilled that the dollar is doing better vs the euro. So now i can maybe start eating alittle bit better, i've survided the last month basically on rice and ham

[Thanatos]

Bah, that's nothing. When pressed for money, I once survived for five weeks on nothing but Uncle Ben's, Nestle Crunch Ice Cream, and Snapple Mango.

[Erik]

What I find most interesting, is that the market is speculating on the European Central Bank lowering interest rates to boost the economy.

Interesting, because such behavior from the ECB is illegal according to the EU's own laws. (the ECB is legally bound to aim at a 2% inflation regardless of economic circumstances)

[Thanatos]

This is something to behold, certainly.

Does anyone know what the Dollar/Euro, Dollar/CAD, and the Dollar/(Whatever the Australian currency is) might be?

[Valiant Champion]

I love to see the dollar rebound. But we all know that big wheeled investors and politicians are doing everything in their power to destroy the value of this corner stone of the American economy.

Could this orchestrated attempt to destroy the dollar through 8 years of low interest rates, risky lending decisions and an attempt by OPEC to cut down on oil production with the aim to bring the dollar back down all be connected to the Senior Bushs New World Order??

[Justice and Mercy]

The US was never heading to some fiery Depression.

Sorry kids.

[Father Jack]

What is the Pound Stirling against the Dollar and Euro at the moment?