US Dollar Index
 

US Dollar Index below 80... Hmm, how low will it go?

US Dollar down, Gold Up...

US Dollar Index

Re: US Dollar Index
 

There are a lot of factors that can drive down the value of the dollar. I have no idea what the index encompasses but it's becoming more clear to me that the US dollar was once a great tool to buy foreign assets with, however it seems that those same companies/counties we bought shait from, aren't intersted in buying those assets back. All the while we are piling on interest payments and everybody is losing faith in a REAL WORLD ASSET to back up the FICTIONAL DOLLAR VALUE that everyone held to be self evident and true.

Re: US Dollar Index
 

here is a link to an explanation and composition of the index
http://www.akmos.com/main/forex/usdx.html

Re: US Dollar Index
 

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US Dollar Index below 80... Hmm, how low will it go?

US Dollar down, Gold Up...

US Dollar Index

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well if the fed cuts rates (and they will), and the ECB still on a tightening bias, then it will continue going lower lower lower.

Re: US Dollar Index
 

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US Dollar Index below 80... Hmm, how low will it go?

US Dollar down, Gold Up...

US Dollar Index

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well if the fed cuts rates (and they will), and the ECB still on a tightening bias, then it will continue going lower lower lower.

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Don't be so smug.

http://www.bloomberg.com/apps/news?p...er=patrick.net

Re: US Dollar Index
 

Some country is dumping US treasuries...

Dump US treasuries

If you were holding billions of US currency and are watching it drop, would you still hold on? I'd dump and get some gold (relatively safe)...

The Fed Reserve is print up US dollars like its water...

Re: US Dollar Index
 

. US Dollar drop more?

Inflation going forward?

Re: US Dollar Index
 

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. US Dollar drop more?

Inflation going forward?

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Hyperinflation is a lock. Oil over $100, Gold over $1000 in 2008. Take that to the bank.

Re: US Dollar Index
 

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Hyperinflation is a lock

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Hardly, in the remote chance it does occur in the dollar you will have a worldwide meltdown, better to invest in generators, guns, bullets, language lessons and bottled water.

Jimbo

Re: US Dollar Index
 

Agree fully with Jimbo.
But I do see some very huge problems comming for the USD.
Anyway, I have some funds in USD on a pokersite right now, should I be converting to CDN before it reaches par / eclipses the USD. What a nightmare that is, 5 years ago 10k USD = 13.5k CDN now =10.001k

Re: US Dollar Index
 

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Agree fully with Jimbo.
But I do see some very huge problems comming for the USD.
Anyway, I have some funds in USD on a pokersite right now, should I be converting to CDN before it reaches par / eclipses the USD. What a nightmare that is, 5 years ago 10k USD = 13.5k CDN now =10.001k

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Ive been wondering the same thing for a few weeks now and am very interested in the answer

Re: US Dollar Index
 

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Agree fully with Jimbo.
But I do see some very huge problems comming for the USD.
Anyway, I have some funds in USD on a pokersite right now, should I be converting to CDN before it reaches par / eclipses the USD. What a nightmare that is, 5 years ago 10k USD = 13.5k CDN now =10.001k

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Ive been wondering the same thing for a few weeks now and am very interested in the answer

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In an efficient market it truly doesn't matter. If you are consuming in Canadian Dollars it would seem wise to be constantly cashing out anything that isn't a bankroll. If it's a bankroll, then keep it in USD as that is the currency you play in.

Re: US Dollar Index
 

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Hyperinflation is a lock

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Hardly, in the remote chance it does occur in the dollar you will have a worldwide meltdown, better to invest in generators, guns, bullets, language lessons and bottled water.

Jimbo

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Why on earth would the world economy melt down? The US are net consumers, not producers, and finding consumers is just about the easiest thing ever, who doesn't want stuff? the 1-3 billion people in China, korea, japan, India will gladly start living more consumptive lifestyles once they no longer have to compete with american dollars for the goods they produce.

Re: US Dollar Index
 

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. US Dollar drop more?

Inflation going forward?

[/ QUOTE ]

Hyperinflation is a lock. Oil over $100, Gold over $1000 in 2008. Take that to the bank.

[/ QUOTE ]

I agree w/hyperinflation... I think a lot of people do not realize that the fed is printing up USD's like water. The Gov does not even publicly display M3 anymore, wonder why?

If the inflation rate is 6, 7, 8, 9+ %, you will need your investments to return that much more when take inflation into consideration.

If you have a 15% return on the year and inflation is at 8%, your return does not look so good.

In about 3 years (2010), check out the prices for the consumables that you use everyday. Food and Gas... Come back to this thread then...

Re: US Dollar Index
 

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Hyperinflation is a lock

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Hardly, in the remote chance it does occur in the dollar you will have a worldwide meltdown, better to invest in generators, guns, bullets, language lessons and bottled water.

Jimbo

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Why on earth would the world economy melt down? The US are net consumers, not producers, and finding consumers is just about the easiest thing ever, who doesn't want stuff? the 1-3 billion people in China, korea, japan, India will gladly start living more consumptive lifestyles once they no longer have to compete with american dollars for the goods they produce.

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I think Jimbo is stating that better to invest in U.S. exporters than commodities the U.S. imports. Not sure of the rationale regarding the following:

1-3 billion people in China, korea, japan, India will gladly start living more consumptive lifestyles once they no longer have to compete with american dollars for the goods they produce.

I guess you're saying that the people in these countries can't buy the goods they're producing because the U.S. is buying more than they can produce. Possibly but unlikely IMO but could be convinced otherwise on that.

Re: US Dollar Index
 

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. US Dollar drop more?

Inflation going forward?

[/ QUOTE ]

Hyperinflation is a lock. Oil over $100, Gold over $1000 in 2008. Take that to the bank.

[/ QUOTE ]

I agree w/hyperinflation... I think a lot of people do not realize that the fed is printing up USD's like water. The Gov does not even publicly display M3 anymore, wonder why?

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Actually no. The Fed quit collecting data to do M3 because it was expensive to collect the data and didn't provide info that was worth the cost. What M3 info is so significant that it gives different picture than M2 lets say?

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If the inflation rate is 6, 7, 8, 9+ %, you will need your investments to return that much more when take inflation into consideration.

If you have a 15% return on the year and inflation is at 8%, your return does not look so good.

In about 3 years (2010), check out the prices for the consumables that you use everyday. Food and Gas... Come back to this thread then...

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The biggest factor in pricing goods and services is labor costs and this is so by a landslide.

But this what makes markets. It should be quite easy to get money on the hyperinflation scenario.

Re: US Dollar Index
 

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Agree fully with Jimbo.
But I do see some very huge problems comming for the USD.
Anyway, I have some funds in USD on a pokersite right now, should I be converting to CDN before it reaches par / eclipses the USD. What a nightmare that is, 5 years ago 10k USD = 13.5k CDN now =10.001k

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5 years ago i think it was 10,000 US was $15000 plus CDN. I remember my bonus hunting days and depositing a US check and got 1.60.

Re: US Dollar Index
 

65 cents was about the lowest it went I think, So 1.35 would be the most. Don't know how you could get 1.6. Or 15k for 10k that would be a 50cent USD for 1 CDN.

Hyperinflation is pretty scary, and a very real possibility. What do you think is the best currency to keep funds in as the possibility of hyperinflation looms. CDN? I figure the CDN will probably follow what happens to the USD in a matter of time. I would think the Euro would be best to have? What do you guys think?

Re: US Dollar Index
 

Assuming I decide to convert some extra $$$ into euros, what is the best way to go about doing this? Should I be signing up with some forex thing or just take 50k down to the bank and ask them to convert it? Also, is there an easy way for Americans to buy stocks with euros through a site like Vanguard?

Re: US Dollar Index
 

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Assuming I decide to convert some extra $$$ into euros, what is the best way to go about doing this? Should I be signing up with some forex thing or just take 50k down to the bank and ask them to convert it? Also, is there an easy way for Americans to buy stocks with euros through a site like Vanguard?

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You can look into FXE

http://finance.yahoo.com/q?s=FXE

Re: US Dollar Index
 

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65 cents was about the lowest it went I think, So 1.35 would be the most. Don't know how you could get 1.6. Or 15k for 10k that would be a 50cent USD for 1 CDN.

Hyperinflation is pretty scary, and a very real possibility. What do you think is the best currency to keep funds in as the possibility of hyperinflation looms. CDN? I figure the CDN will probably follow what happens to the USD in a matter of time. I would think the Euro would be best to have? What do you guys think?

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dont know how you can forget grade 4 math....

.65c = 1US 1/.65 = 1.54 canadian

Re: US Dollar Index
 

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Assuming I decide to convert some extra $$$ into euros, what is the best way to go about doing this? Should I be signing up with some forex thing or just take 50k down to the bank and ask them to convert it? Also, is there an easy way for Americans to buy stocks with euros through a site like Vanguard?

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Even if Vanguard international funds give you the stock price in USD, that isn't accurate. The stocks they hold are denominated in EUR, GBP, JPY, or whatever the country currency is. The price they give you on the site is the converted USD value. Basically, international funds you own are already in another currency. You probably own more non-USD currencies than you think.

Re: US Dollar Index
 

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65 cents was about the lowest it went I think, So 1.35 would be the most. Don't know how you could get 1.6. Or 15k for 10k that would be a 50cent USD for 1 CDN.

Hyperinflation is pretty scary, and a very real possibility. What do you think is the best currency to keep funds in as the possibility of hyperinflation looms. CDN? I figure the CDN will probably follow what happens to the USD in a matter of time. I would think the Euro would be best to have? What do you guys think?

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dont know how you can forget grade 4 math....

.65c = 1US 1/.65 = 1.54 canadian

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Thanks for explaining it saved me the trouble. On March 1st 2001 it was at .63c which was 1.587 So it was alittle longer than 3 or 4 years ago.

Re: US Dollar Index
 

One thing thisdollar is causing is CDN's heading down to the USA to buy luxury vehicles and SUV's. I was looking at a lexus IS 250 and could save over $15,000 buying in US. Problem is many dealers have been told they can no longer sell to CDN's. What happened to free trade?

Re: US Dollar Index
 

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One thing thisdollar is causing is CDN's heading down to the USA to buy luxury vehicles and SUV's. I was looking at a lexus IS 250 and could save over $15,000 buying in US. Problem is many dealers have been told they can no longer sell to CDN's. What happened to free trade?

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Do you not have to pay an import tax when doing this?

Re: US Dollar Index
 

Listen to a few of this guys videos, some on CNBC. Peter Schiff:

Video's

He is really bearish on the US markets, the US Dollar, Real Estate, etc... While I don't believe everything he is saying, he does have some good points regarding inflation and the economy.

It's good to see all angles when investing.

Re: US Dollar Index
 

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One thing thisdollar is causing is CDN's heading down to the USA to buy luxury vehicles and SUV's. I was looking at a lexus IS 250 and could save over $15,000 buying in US. Problem is many dealers have been told they can no longer sell to CDN's. What happened to free trade?

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Do you not have to pay an import tax when doing this?

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Nope you just pay the 6% GST and $100 airconditioning tax and $5 a tire recycling fee.Once you have the car you bring to a local CDN tire to get certified for $100. You may have to add a daytime running light switch too. But thats cheap.

Hoping to get a used IS250 if no dealer sells me a new one

Re: US Dollar Index
 

99.99 against CDN there she blows

Re: US Dollar Index
 

The record low was 61.79 cents on Jan. 21, 2002.

Re: US Dollar Index
 

ya this is sick, whats the best thing to do with USD? Convert to Euros, because its just a matter of time before CDN follows USD.

Re: US Dollar Index
 

Dollar slides to 31-year low vs Canadian dollar
Fri Sep 21, 2007 2:10 AM ET

By Naomi Tajitsu

TOKYO (Reuters) - The dollar tumbled further on Friday, hitting a 31-year low against the Canadian dollar and edging near a record low against the euro as investors dumped the U.S. currency after the Federal Reserve's aggressive rate cut this week.

Support for the dollar has crumbled, dragging it to a 15-year trough versus a basket of currencies and pushing the U.S. currency above the psychological $1.40 level against the euro in the previous session.

A 50 basis point cut in the fed funds rate on Tuesday has battered the dollar as it has tarnished the appeal of assets denominated in the currency. Traders see this trend continuing given expectations that the Fed may cut rates again this year.

Article

Re: US Dollar Index
 

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ya this is sick, whats the best thing to do with USD? Convert to Euros, because its just a matter of time before CDN follows USD.

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Not true We have not spent ourselves into debt and economiy is flying. The last time our dollar plummetted it was due to the uncertainty of Quebec as Rene won. Once we brak that $1.00 mark and stay above it who knows. Lets face it our future is determined greatly by the American voters. If they allowed 3 terms and Bush won again we could see 1.10.

Re: US Dollar Index
 

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Not true We have not spent ourselves into debt and economiy is flying. The last time our dollar plummetted it was due to the uncertainty of Quebec as Rene won. Once we brak that $1.00 mark and stay above it who knows. Lets face it our future is determined greatly by the American voters. If they allowed 3 terms and Bush won again we could see 1.10.

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Also, the majority of the Canadian economy is commodities:

mining products (lots of base metals), agriculture, forestry, oil & gas, etc.

The prices on many of these commodities are at record or near record highs with strong demand from China & India replacing the usual US demand. (lumber prices are in the tank, but most of the others are doing very well)

While the Canadian economy is still strongly linked to the US (more than 80% of our exports just go straight south), the tie isn't quite as strong as it used to be.

The manufacturing sector of our economy is taking a beating over lower US demand and high exchange rate, but there are still very strong fundamentals in Canada which lead me to believe that $1US = $0.95 Canadian will happen before January.

Re: US Dollar Index
 

canada (as well as norway, australia, new zealand, and to some degree brazil as well) are commodity currencies....~20% of the cad GDP comes from commodities, so if oil goes up, all the mentioned currencies go up. throw in the fact that the US is cutting rates, and the previous mentioned countries are on a hiking bias, then their currencies will continue to strengthen.

for what its worth, i think oil (and cad) is overbought and will be lower by yearend. add in the recent news of a proposed increase of royalties on oil producers there and its time to take your profits and run.....for now at least.

Re: US Dollar Index
 

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for what its worth, i think oil (and cad) is overbought and will be lower by yearend. add in the recent news of a proposed increase of royalties on oil producers there and its time to take your profits and run.....for now at least.

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QFT

Re: US Dollar Index
 

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add in the recent news of a proposed increase of royalties on oil producers

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If you are referring to the proposed increase in royalties in Alberta, the increase has minimal impact (percentage wise) on most, if not all oil companies doing business here.