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Expert explains weakness of the Euro »

Posted by: universal12 2 years, 7 months ago

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SERIOUS ECONOMISTS never much liked the Euro. Then again, serious economists never much bothered to make money from trading. John Maynard Keynes just goes to prove it.

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universal12

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Comments: 25

Avg rating: (+5/-8 -3)
el4sail
May 18, 2007, 2:38 p.m.
The Euro is strong because Europe is not burning Money in Iraq and Afghanistan and Pizzing off all the folks who sell oil.
Avg rating: (+4/-0 4)
earthlingerer
May 18, 2007, 2:55 p.m.
In europe a lot of funny games get played at the banks involving long term deposits, and the speculation, or knowledge that banks have concerning foreign currencies.
At NordLB, a huge bank in northern europe, a long term deposit in Lithuanian (an EU country) Litas gets you 3.85% for five years. A five year deposit in euros for the same time period gets you 3.6%, while a deposit in US Dollars gets you 4.5%.
Considering that the Lita is pegged to the Euro, it's already interesting to see such a difference.
If you had invested in dollars when Bush came into office, you'd have watched your money plummet, while the Lita went from 4 to one dollar on the first day of Bush's reign, to 2.5 litas to one dollar today.
Funny, huh?
Avg rating: (+1/-3 -2)
Daylight
May 18, 2007, 2:56 p.m.
International community is confident that the Euro dollar will someday replace the USD as the base currency of the world. Every country in the world wants to have Euro Dollar in its currency reserve, especially the Asian countries and the Middle East, China is one of them too. The European economy is one of the best economies in the world and their product are as good as anybody else's, also they perform well. The Europeans have their own mechanism to keep their currency strong and steady. So people feel it's worth taking a risk.
Avg rating: (+8/-4 4)
CatholicRedneck
May 18, 2007, 3:02 p.m.
Every fiat currency, sooner or later, becomes worthless. Looks like in the race to the bottom the US dollar is leading the way.
Avg rating: (+6/-2 4)
engineer
May 18, 2007, 3:41 p.m.
Very Interesting. The dollar is till falling against the Euro which means the dollar is worse.
Avg rating: (+2/-1 1)
Jaydee40
May 18, 2007, 4 p.m.
It may have taken this long for Europe to regain it's strength after WW2 but they seem to be doing great. They may have a few hic ups along the way, but all and all it's good news for them. Our Canadian Dollar is doing good as well, we gained about 40 cents on the American Dollar since Bush came into power. Maybe he could find a way to stay in for another term. lol
Avg rating: (+5/-1 4)
LordyLordy
May 18, 2007, 4:03 p.m.
They're in the works for creating the Amero, which will include Canada, USA, and Mexico, which means they'll give them away to the illegals, who don't have as much Euro. That ought to help finish off the American Dollar.
Bush had little to do with it. This has been going on since before the Carter Adminstration. He's the one giving away houses to people who will not work?
Avg rating: (+2/-0 2)
wimligtenberg
May 18, 2007, 4:30 p.m.
Maybe its time for one currency for the free west??
the money districts around the world are working together so why not the next step,
wim
Avg rating: (+4/-6 -2)
Macondo
May 18, 2007, 8 p.m.
The blogs in this thread are all very interesting but so far I have not seen an opinion from the experts.
Is there any tele-evangelist who could explain to us the value and essence of money?
Avg rating: (+0/-0 0)
LOCKNLOAD
May 18, 2007, 9:15 p.m.
...I was asked to comment on this topic.I'm so glad I never gave the Euro a thought when or whenever. I get 17% return over the last 8 months with a solid American mutual fund portfolio...higest percentage since Aug 2004 [then 13%].