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Non-Tech : The US Dollar vs the Euro and a discussion over exchange rat
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To: nigel bates who wrote (50)7/13/2005 1:54:26 AM
From: Alfred W. Post  Read Replies (1) of 57
 
Right you are!
We are always tempted to extrapolate strait line and
in doing this the dollar would have to keep on increasing while the Euro would fall further. But then you forget the major fundamental troubles of the two deficits and I cannot see any big improvments here. So the old problems persist and longer term the dollar will be suffering. However as the American economy will prove to be stronger than the European and the interest rates will compare favorable againt those in Europe, I do not think that the former continuous drop will continue. Rather we will most likly enter into a period of sideway movements. Fred
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