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Pastimes : Clown-Free Zone... sorry, no clowns allowed

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To: Earlie who wrote (239482)5/8/2003 1:35:12 PM
From: Haim R. Branisteanu  Read Replies (2) of 436258
 
The ECB did not lower rates - even that EZ economy is in worst situation than that of the US with big strikes looming in France and Germany

I think that the US is handling the currency game smartly. A lower USD will add an incentive to the US economy, by the fact that US products will be more competitive and more on T&L will be spend locally giving US airlines and hotels a much needed moderate boost.

Further the low USD will make the reconstruction of Iraq were much US tilted, for pricing reason, and leave many EZ companies out of the competitive bidding.

My only hope is that this administration will not overplay it to the extent that it will trigger inflation and capital outflow.

IMHO they should hold around this levels and any more USD depreciation will be counter productive.
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