Re: You get a whole lot more bang for the buck in the US than what $ 1.35 buys you anywhere in EU.
Sure, but it's not just the purchasing power parity that doesn't add up... It's more basically the fact that there's no market demand for the euro --whether it's bonds, bills, stock or just cash!! Even with a coupon of 25% annually, who's crazy enough to buy Greek bonds?????? NOBODY... except... the European Central Bank. The ECB keeps buying all the sovereign junk eurobonds on the secondary market, flooding the sellers with euros which, in turn, are bought by the US Federal Reserve, the Bank of England, the Bank of Japan, the Russian Central bank and the National Swiss bank --to keep the USD/EUR exchange rate above 1.30.
The euro calendar:
--Monday, Nov 21: IMF Board meets to discuss disbursement of Greece's sixth aid tranche. New Greek prime minister Lucas Papademos visits Brussels to discuss aid disbursement
--Thursday, Nov. 24: General strike in Portugal.
--Friday, Nov. 25: Italian T-bill/zero-coupon bond auction.
--Tuesday, Nov. 29: Italian bond auction. Final Portuguese budget vote. Euro-zone finance ministers meeting.
--Wednesday, Nov. 30: European Union finance ministers meeting.
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