Daily Dollar Deathwatch

[Yukari Yakumo]

1 $US = 0.9106 $CAN

... oy, oy... It's like a bad game of limbo.

At the rate it's going, it's going to be worth less than 90 cents by the end of the week.

I've also noticed some people (usually Wall St. dolts) are trying to paint a silver lining on this. No, when the dollar is down against almost everyone, there is no silver lining here.

[SidDithers]

1. It was .9088 a few minutes ago...

at http://www.fxstreet.com/rates-charts/currency-rates/symbol.aspx?id=USDCAD

It's like watching a tennis game, where the court is built on a hillside. There's some back and forth, but the balls all keep rolling to one side.

Sid

[magellan]

2. I like to watch the pound

You get $2.0942 for each one right now.

Where's the bottom?

[HCE SuiGeneris]

5. The bottom?

Is at the foot of the stairs our economy has just found itself falling down. The credit markets have much more to expose in terms of undisclosed debt. Ask yourself why the rate drop by the Fed has not been transferred to the consumer. The answer, my friends, is the siphoning of America's governmental influx of money to bolster the market has gone to bandage a terminal "thousand cuts" wound that is at this point irreparable.

Make plans for a harsh winter... greed and mis-management will wreak a severe cost to us pack mules bearing the weight of such folly.

[tuvor]

3. $1.00 CDN = $1.10015 USD as of right now.

It's been, what, six weeks since they were of equal value? Now the Loonie is another 10% higher.

As a Canuck, it was kind of fun watching it catch up, but it's overtaken the USD too damn quickly!

[Blackhatjack]

4. So WHO is making the big money on the devaluation of the Dollar?

Every movement in the stockmarket means someone makes money.

Is it the currency speculators?

Is it those with lots of outstanding debt, which is now worth less to the holders of that debt?

A short explanation would be appreciated.

[puerco-bellies]

7. The only ones making big money on the tanking dollar is the oil producers.

Oil is traded in dollars. After we left the "gold standard" the real value of the dollar became the amount of crude a dollar could purchase. As the intrinsic value of oil increases, the medium of it's exchange can't keep up, due to macro-economic reasons, i.e. U.S. debt, our trade imbalance's, and the vast amount of dollars held in foreign reserves.

These factors cause the true underpinning of the U.S. dollar which is crude oil to widen the difference between what a dollar buys X $ = 1 barrel of crude, vs $1 = other currencies. The economies holding a lot of dollars are seeing their holdings of dollars diminish value, and well as the value of their U.S. securities (U.S. treasuries which is another form of debt)diminish as well.

Short term gainers from the drop in the Dollar are oil producers because a weak dollar means more are required to purchase a barrel of crude. Long term gainers are our chief economic rivals, China, and to a lessor extent India, who for the first time have both the need and the means to out bid the U.S. for diminishing crude oil supplies. Both these countries are trying to establish economic, political, and of course military dominance over the U.S. in the coming years.

Basically we are fucked.

[RUMMYisFROSTED]

9. Who?

Welcome to Richistan, USA

...

America's super-rich have returned to the days of the Roaring Twenties. As the rest of the country struggles to get by, a huge bubble of multi-millionaires lives almost in a parallel world. The rich now live in their own world of private education, private health care and gated mansions. They have their own schools and their own banks. They even travel apart - creating a booming industry of private jets and yachts.


...


http://observer.guardian.co.uk/world/story/0,,2131974,00.html

[puerco-bellies]

11. The truly weathy are making more off of tax cuts then the devalueation of the Dollar.

The value of speculative For-Ex contracts don't equate to the divergence of the haves and the have nots.

[RUMMYisFROSTED]

13. Oh! I meant to say The Poor.

Please.


Cheney is heavily invested in Euros. As are the rest of his ilk.

By devaluing the dollar, and knowing that the dollar is going to be devalued, it's just another opportunity. Greed has no borders, nor an ethic.

[puerco-bellies]

14. Of course they all are.

It is no wonder why so many "old money" family members are connected with both the intelligence and foreign services. It is also no wonder that many in the current administration are vested in defense industries. The premise that the gap between rich and poor is due to the devaluation of the dollar does not bare out. They, (meaning Darth Cheney and Co) did nothing to mitigate the implosion of the dollar, and yes they took advantage of it, but the causation of the dollar's decline is tied to global forces competing for crude more then any other factor.

[RUMMYisFROSTED]

19. The question was "Who is making big money on devaluation?"

Not that the wealth gap is due to that devaluation. Now if the question is asking why(not who) devaluation is happening, the obvious answer is that the printing presses are running around the clock and the rest of the world is calling bullshit.

[Blackhatjack]

20. Thank you -- my question was 'WHO?' --anyone know the answer?

[RUMMYisFROSTED]

23. See #9.

You want a name?

There's a couple of hundred thousand of them. :shrug:

[4_TN_TITANS]

21. I am... making around 45% interest in foreign stock.

Over the last 7 years while our presi-twat has been bankrupting the country, betting against the dollar has been a sure thing. Just think of the jack that other countries are going to make off of our debt interest alone.

[trekbiker]

22. me too....

moved everything I had into Canada, Europe, China and SE Asia a few years ago. Sold my overpriced piece of crap CA house in Feb and put the entire gain into Canada. While on the phone with my broker for some TSX trades this morning I nearly fell out of my chair when he told me the exchange rate was 1.1. it was 1.05 last week.. and parity only a few weeks before that. dollar falling too fast for comfort. destroying the dollar might be one way to duck out of our insane national debt but this is getting scary

[TheFarseer]

25. what's the best way to buy foreign currency?

I have an internet based trading account and I hate to go to all the trouble of getting a broker. Are there certain mutual funds for foreign currency? I've also seen foreign mutual funds going up around 40% - 60% per year and wondered why the hell I'm not in any of them yet!

[TheFarseer]

24. I've heard

Dick Cheney is heavily invested in Euros. As to the rest of that crowd, I wouldn't doubt if they are also. Aside from that, you have to wonder if the devaluation of the dollar is just an unfortunate side-effect of tax cuts for the rich, massive borrowing to funnel money to Haliburton etc etc and interest rate cuts to keep the stock market going or if they are doing it on purpose.

[liberalla]

6. Whenever I see this topic, I go check metals - WOW !!!!!!!!

As of Tuesday close:
Gold gained 12.70 and closed at $ 820.80
Silver gained 59 cents to close at $ 15.30

NY is closed right now, but on the world market gold has gained another $15.20 since the NY close, and silver has gone up another 59 cents since the NY close. These numbers change constantly.

Live Market Quotes http://www.kitco.com/market/ (hit update to watch the movement)

We've seen good increases recently, which seems to correspond with a weak and falling dollar.

[puerco-bellies]

8. I went from trading commodity's to silversmithing.

I am getting killed by silver prices.

[HCE SuiGeneris]

10. Nice change of occupation

I hope that you can continue the trade and that prices relax to favor your success.

[puerco-bellies]

12. Thanks,

I'm pulling for that too!
:hi:

[liberalla]

16. I bet the silver work is better for your blood pressure

I really appreciate your posts in this thread. You have a much better understanding of this economic stew we find ourselves in.

[puerco-bellies]

17. You ain't lying about the blood pressure.

Thanks for the comments, I think my observations are accurate and have been consistent for multiple years. I have put my money, and my book on them. It doesn't mean I always had the right timing (If I hadn't got some horrific ass-whuppings I'd still be in the game), but I know I have made some good long term calls, and for the right reasons.

[upi402]

15. I got soooo much crap when I bought gold

now I don't feel so bad, just wish I got more.

Copper and any steel product is way up too, this year. Even plastics that are an alternative to steel went up.

[JCMach1]

18. seriously DBP

http://finance.yahoo.com/q/bc?s=DBP&t=6m


Has helped out my portfolio...