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To: Crimson Ghost who wrote (109925)6/22/2001 4:31:27 PM
From: Haim R. Branisteanu  Read Replies (2) | Respond to of 436258
 
George combine trade deficit with economic strength fundamentals and military power. After the USSR demise and Desert Storm the dollar started to strengthen more and more even that the trade deficit was growing continuously.

Not so was the situation before when the concept was that the USSR is a equal military match. Robert Rubin started with this policy and was able to maintain it for over 7 years. Those processes take a while to unwind. but it will.

Back in 1994 the dollar index was around 80 I do not see any reason why it should not be there again based on economic fundamentals. This will bring the Euro to around 1.30 to the dollar

Haim