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Politics : Foreign Affairs Discussion Group

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To: Elroy who wrote (249274)	11/22/2007 10:26:23 AM
From: michael97123	Read Replies (1) of 281500

I think the US currency will keep falling now and this fall is not warranted by economics but by pegged currencies and relatively high rates in some areas of the world that draw capital to them. Do you think UAE move is s precursor of a multinational move to support US fed in rate cutting by cutting across the board? US must cut now to stimulate growth but in the pegs and high rates this will cause dollar to fall further which is in no ones interest at this point. Euros risk is a whiff of inflation if the do it--if they dont they will pay an economic price as their economies begin to falter under the weight of the euro. I am not an economist and this is nothing more than an educated guess.

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