I thought we could do a comprehensive list of reasons why the dollar would either appreciate or depreciate. Likewise, if everyone list their reasons, I could try to present all the reasons in a very structured manner in the opening thread. I'm personally just genuinely interested and a joint effort would help sorting out the numerous fundamental factors.
I will start, just to add some fuel:
Down:. Treasury Secretary John W. Snow has all but ruled out action to stop the dollar's decline, while Federal Reserve Chairman Alan Greenspan suggested on Nov. 19 that a fall is inevitable.
Up: An uncontrolled fall of the dollar would be good for no one. It would disrupt financial markets worldwide and undercut global growth
Up: Japan,china and other asian countries have hinted at approving a slight appreciation to lessen the downfall.
Down: Russia's central bank rocked currency markets on Nov. 23 when deputy Chairman Alexei Ulyukayev suggested that the bank might sell off some of its dollars for euros. "Most of our reserves are in dollars, and that's a cause for concern," he told reporters in Moscow. "Looking at the dynamics of the euro-dollar rate, we are discussing the possibility of changing the reserve structure." And Russia is hardly alone,other asian countries have hinted at cutting down on their dollar purchases and allow their currencies to appreciate against the dollar.
At the Group of 20 meeting in Berlin, Central Bank of China Governor Zhou Xiaochuan said Beijing is "reviewing its old foreign-exchange control systems." What's most likely, experts say, is that China will accept a small appreciation of its currency sometime in the next six months by widening the range in which the yuan trades.
Down: Citating Warren Buffet: "If something is unsustainable(the growing account deficit), it's going to have consequences; so far the consequences have been a general decline in the dollar against major currencies,If we continue the same policies, we're going to get the same results in the next five or 10 years.''
I will start, just to add some fuel:
Down:. Treasury Secretary John W. Snow has all but ruled out action to stop the dollar's decline, while Federal Reserve Chairman Alan Greenspan suggested on Nov. 19 that a fall is inevitable.
Up: An uncontrolled fall of the dollar would be good for no one. It would disrupt financial markets worldwide and undercut global growth
Up: Japan,china and other asian countries have hinted at approving a slight appreciation to lessen the downfall.
Down: Russia's central bank rocked currency markets on Nov. 23 when deputy Chairman Alexei Ulyukayev suggested that the bank might sell off some of its dollars for euros. "Most of our reserves are in dollars, and that's a cause for concern," he told reporters in Moscow. "Looking at the dynamics of the euro-dollar rate, we are discussing the possibility of changing the reserve structure." And Russia is hardly alone,other asian countries have hinted at cutting down on their dollar purchases and allow their currencies to appreciate against the dollar.
At the Group of 20 meeting in Berlin, Central Bank of China Governor Zhou Xiaochuan said Beijing is "reviewing its old foreign-exchange control systems." What's most likely, experts say, is that China will accept a small appreciation of its currency sometime in the next six months by widening the range in which the yuan trades.
Down: Citating Warren Buffet: "If something is unsustainable(the growing account deficit), it's going to have consequences; so far the consequences have been a general decline in the dollar against major currencies,If we continue the same policies, we're going to get the same results in the next five or 10 years.''
: So does Cheney thats why he dump all his usd's for euro's in Nov 06. What patriot team.
) stronger. And I suppose it will be in summer or autumn. As for me , dollar will be strong next year.