Euro Falling

[Annie]

http://www.washingtonpost.com/wp-dyn/content/article/2005/05/31/AR2005053100240.html

washingtonpost.com
Dollar Rises Against the Euro

By MATT MOORE
The Associated Press
Tuesday, May 31, 2005; 7:24 AM

FRANKFURT, Germany -- The dollar rose Tuesday against the euro and other major currencies amid concern over the future of European integration ahead of the Dutch referendum on the European Union's constitution.

In afternoon European trading Tuesday, the 12-nation euro dropped as low as $1.2312 before edging back up to $1.2318 _ more than a cent below the $1.2466 it bought late Monday.

The British pound fell to $1.8180 from $1.8227 on Monday. The dollar rose to 108.22 Japanese yen from 107.97 yen.

On Sunday, French voters roundly rejected the document _ creating uncertainty about the European Union's future and raising the prospect that international investors could become more wary of putting money in European assets.

The EU constitution faces another test when the Netherlands votes Wednesday, with polls indicating strong resistance toward it there. Nine countries, including Germany have approved the document _ mostly through parliamentary votes.

Jean-Claude Trichet, president of the European Central Bank, said the continent is facing a difficult time in the aftermath of the French vote.

"After the French referendum and before the Dutch referendum, we are facing today a difficult moment for Europe and for our 458 million European fellow citizens," he said during a speech in Montreal on Monday.

But he was optimistic that the EU would weather any crisis.

"I am sure that Europeans will together find the way allowing them to overcome present difficulties as they did it in the past."

While it has taken a knock this week, the euro remains strong overall. It dropped against the U.S. currency after its 1999 introduction, but surged to an all-time high of $1.3667 at the end of last year amid worries about the wide U.S. trade and budget deficits.
© 2005 The Associated Press

 

[OCA]

I am happy about this for purely selfish reasons. Before the Euro came along I could go to Greece and live like a king, a freakin king! Along comes the Euro and I lose money when I go there. I hope the damn thing goes belly up.

 

[007]

I am happy about this for purely selfish reasons. Before the Euro came along I could go to Greece and live like a king, a freakin king! Along comes the Euro and I lose money when I go there. I hope the damn thing goes belly up.

Don't worry Bud, Europe's problems are coming home to roost. They've got some tough times coming up, and the euro falling is just the beginning. You'll be able to go to Greece and live like a king once again soon.

 

[freeandfun1]

I would love to go back and revisit all the threads of 8 months or a year ago when people like Bully, Wade, et. al. claimed that the dollar would NEVER (NEVER I'm tell'n ya) recover! That it was only a matter of time before the dollar became worthless. I argued with them then that it not only would recover that it really wasn't all that low to begin with. I remember when the $$ only traded in the 90's with the Yen. Seems to me the dollar is holding it's own. How can that be! Bush is ruining this country, I just don't get it....

 

[Said1]

I would love to go back and revisit all the threads of 8 months or a year ago when people like Bully, Wade, et. al. claimed that the dollar would NEVER (NEVER I'm tell'n ya) recover! That it was only a matter of time before the dollar became worthless. I argued with them then that it not only would recover that it really wasn't all that low to begin with. I remember when the $$ only traded in the 90's with the Yen. Seems to me the dollar is holding it's own. How can that be! Bush is ruining this country, I just don't get it....

Poor Huckleburry, I guess he doesn't feel the pain of being wrong ALL the time anymore.

 

[elephant]

Since you mentioned him, where is he? The 'economy' thread has been dead for two weeks and he still has not responded to me in the other economy thread.

Was he banned?

 

[Said1]

Since you mentioned him, where is he? The 'economy' thread has been dead for two weeks and he still has not responded to me in the other economy thread.

Was he banned?

Banned?? No one gets banned for being a dork.

I'll pm you with the rest.

 

[Huckleburry]

During the first year of Mr. Bush's presidency, the dollar/Euro exchange rate averaged 1.13. To date the dollar/euro exchange has averaged .78. This is not an impressive record of accomplishment and the plight of the dollar can be linked to Mr. Bush's economic policies. Many will be quick to blame the events of 9/11 for this lackluster performance. However, this excuse no longer holds water. Mr. Bush and his team have had plenty of time to respond to 9/11 that the economy is still lagging is evidence that Mr. Bush and his cronies are not up to the task.
Toting a single day of market jitters (especially with the uncertaintiny surrounding the EU constitution) as a sure sign that Mr. Bush's economic policies have worked is ludicrous. True, the dollar made small gains against other major currencies...for a day. However, the underlying the problems have not changed. The United States continues to carry a dangerous amount of debt (with little sign of slowing down), our savings rate is dismally low (if not negative) and our propensity to spend is still financed by foreigners. A single day is not a recovery. The fact remains that the dollar is still being bashed about in foreign markets.
The euro today remains strong as does the pound, and the yen. A single day proves nothing, other than an apparent willingness to ignore the fundamentals.
Cheers Huck

 

[Annie]

http://news.yahoo.com/s/nm/20050602/bs_nm/markets_forex_dc_14

Euro falls sharply after Dutch EU vote 42 minutes ago



The euro dropped to eight-month lows against the dollar on Wednesday after an exit poll showed a firm rejection of the European Constitution by the Netherlands, which following a resounding "No" vote by France, raises questions about economic reform in the region.

The exit poll showed "No" votes made up 63 percent of the total, compared with 37 percent in the "Yes" camp. The same survey found that 62 percent of the Dutch electorate cast ballots in the referendum.

By late afternoon in New York, the euro sank to $1.2160 according to Reuters data, after triggering automatic sell orders below $1.22. The euro's decline accelerated as investors rushed out of long positions in the currency.

"The turnout was bigger than projections and the rejection was bigger than expected. I think people were looking for high 50s and it came out at 62 percent," said Ed Stapleton, head of foreign exchange with Fortis Bank in New York.

"It's not looking pretty for the euro right now," he added.

The euro was broadly weaker, falling to a 5-1/2 month low against the Swiss franc, a 9-month low against sterling and a 9-month low against the yen.

Since the year began, the euro has confounded many analysts by declining more than 10 percent against what has turned out to be a resilient dollar, which is strong across the board.

The euro zone currency's recent weakness has caused some Wall Street banks to adjust their near-term forecasts. Merrill Lynch now expects the euro to finish June at $1.27 compared with the bank's earlier forecast of $1.34. Credit Suisse First Boston sees the euro at $1.20 in three months compared with a prior prediction of $1.25.

"We saw the euro suffering on the French vote, and I think even though we expected a 'no' to come out of the Netherlands, the wider than expected margin is important. That adds to the pervading euro gloom," said Lara Rhame, foreign exchange strategist with Credit Suisse First Boston in New York.

HELL FOR THE EURO...

 

[Said1]

These are the type of responses that make my ass itch! If Bush was responsible for half the shit you morons accuse him of I would have to start beleiving that he is the antichrist. Most longtime stockwatchers will tell you war of any sort will usually create an unstable market. Anyone who expects instant change during these times is dead wrong, I think the economy is going to see it's up and downs for sometime to come.

Free had this same argument with him, quoted sources, stats, the works. The post is probably from that thread.

 

[Huckleburry]

Evil,
My post has little to do with the stockmarket. If you look back through other threads you will find I have very little interest in the stock market. In my view it is not as important as most folks on this board seem to think.
Stock market nonsense aside...Your response is frankly unimpressive. Facts are facts. I am not accusing the President of being the antichrist. I am accusing him, rightly, of economic mismanagement. The economy has been trending downward since he took office. He has now had enough time for medium run policies(the changes presidents can usually effect) to prove their merit. They have failed to do so. My post was a response to those using a single day of forex trading to vindicate the presidents polcies. The dollar has declined dramatically against the other major currencies. This is do to large outstanding debt and a deficit financed by foreigners. The president seems intent on continuing this wrong headed policy. He does so at our (yours and mine) economic peril. Your ass should itch but it should itch because your economic future is being jeprodized by the guardian of your interests not because I point out the hazard.

 

[rtwngAvngr]

Evil,
My post has little to do with the stockmarket. If you look back through other threads you will find I have very little interest in the stock market. In my view it is not as important as most folks on this board seem to think.
Stock market nonsense aside...Your response is frankly unimpressive. Facts are facts. I am not accusing the President of being the antichrist. I am accusing him, rightly, of economic mismanagement. The economy has been trending downward since he took office. He has now had enough time for medium run policies(the changes presidents can usually effect) to prove their merit. They have failed to do so. My post was a response to those using a single day of forex trading to vindicate the presidents polcies. The dollar has declined dramatically against the other major currencies. This is do to large outstanding debt and a deficit financed by foreigners. The president seems intent on continuing this wrong headed policy. He does so at our (yours and mine) economic peril. Your ass should itch but it should itch because your economic future is being jeprodized by the guardian of your interests not because I point out the hazard.

Yeah. You communists don't like the "ownership society" the stock market represents. You like planned economies. You're closet tyrants.

 

[Huckleburry]

Good to find your right wing hackery has not fallen off.

 

[Huckleburry]

Yes but the president is the man in charge. If he is not getting the results then he should sack the people he hired. I lay this at Mr. Bush's feet because the administration as a whole has consistently ignored reality and carried on in their own fantasy world. This is the fault of the president and as a result I blame him.

 

[Huckleburry]

I reckon I will be here for a while...and I am sure my politics will change as I get older. One thing is unlikely to change though. I am capatalist. If a dem does a poor job with it then I will be equally as harsh.