SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Currencies and the Global Capital Markets
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: GUSTAVE JAEGER who wrote (480)8/26/1998 12:52:00 PM
From: Henry Volquardsen  Read Replies (2) of 3536
 
Gustave,

As a charter member of the currency mob I agree with your sentiments about why the dollar will be strong against Europe. The US budget deficit and national debt numbers are superior to any major economy in Europe. In addition Germany will take a major hit on Russia. Also official protestations to the contrary, the EU states do not want a stronger Euro. They need job growth to sell the Euro to the various electorates and a strong currency will make that more difficult. In fact the French have, as usual, got themselves tied up in semantic knots. They are travelling the globe trying to sell the Euro as a strong currency because they want to be able to sneer at the US. At the meantime they want to argue for a devaluationist approach to promote jobs.

As to why the 'currency mob' is not trashing the European currencies at the moment is not because they are trying to insure a smooth transition for Schroeder. The big question vis a vis the future for the Euro will be how many non European central banks will want to diversify into Euros as a reserve asset and wether that will support the Euro for a time. If that were not an issue I believe the European currencies would be under greater pressure now.

Henry
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News