euro dollar

MUSIN M


Joined: 26/06/2008
Posts: 1352

Message Posted:
30/01/2009 22:24

the euro dollar at least for some countries doesn,t seem to be working ,

ireland ,portugal ,spain and greece want out.



even the roc are not doing well,these countries cannot drop intrest rates or devalue .



musin

mmmmmm



Joined: 19/12/2008
Posts: 8398

Message Posted:
30/01/2009 22:41

re msg 1 Musin



I don't know if you noticed but ...



the UK Pound is a WHOLE lot worse ;)

MUSIN M


Joined: 26/06/2008
Posts: 1352

Message Posted:
30/01/2009 23:07

mmmm



thats just it ,we can drop intrest rates or put them up when we feel it appropriate and try and adjust or point in some sort of direction .



we are not talking about what currencies are worth ,we are talking about their economies and the prices of every day items,which seem too be going up at a faster rate than other currencies.



do you believe that one currency can really work ,or are the cracks now appearing.

mmmmmm



Joined: 19/12/2008
Posts: 8398

Message Posted:
31/01/2009 02:35

Dear Musin re msg 3



As we've seen, in the UK, purely lowering interest rates hasn't "helped" as :



1/ Savers got "caned"



2/ Banks are't offering credit..



Euroland countries out to be able to buy things from ( say) UK for less ;) Example Irish are doing their shopping Newry - saving 25-35% ...



We are in virgin territory and I've go idea of all the ramifications, yet.. for SURE even Germany are going to break EuroCurrency membership guidelines re budgets..

sparta


Joined: 24/10/2008
Posts: 226

Message Posted:
31/01/2009 10:48

If the U.K never handed over power to the sprouts, they would not be in the mess they are in now!!

karakum5c



Joined: 18/03/2008
Posts: 1021

Message Posted:
31/01/2009 12:54

The Euro can only work if fiscal policy is removed from all the member countries and handed over to the European parliament and we become truly a United States of Europe (like the USA).

How many of us think thats going to happen soon !



The Euro will continue just because of the size of area it covers not for any other reason, certainly not the bright future envisaged by its creators.

clarets



Joined: 08/01/2009
Posts: 752

Message Posted:
31/01/2009 13:24

You can only drop interset rates so far,in whatever currency you have.The bottom line is Zero in anyones book.After that Central banks of either individual countries or the European Central Bank,usually start printing money!

mmmmmm



Joined: 19/12/2008
Posts: 8398

Message Posted:
31/01/2009 14:48

Dear Clarets re msg 7



Not necessarily so...



Negative interest rates COULD be an option !! :o



http://blogs.ft.com/wolfforum/2008/11/the-case-for-negative-interest-rates-now/

rowlo



Joined: 12/10/2008
Posts: 4796

Message Posted:
31/01/2009 18:05

i mentioned this in a previous post ,theyre struggling and all the major players want out spain italy germany portugal most rely on tourism ,theyre unemployment is rising its not so easy to just print more money, theyve got a central bank now who sets the rates? in the past these countries could devalue their currencies or inflate them as and when it suited them not anymore theyre governed by brussels on anything monetary

fire starter


Joined: 19/06/2008
Posts: 3401

Message Posted:
01/02/2009 21:06

malta is another country i think is suffering with problems from joining the euro.



musin, i think the economies are suffering as in the first year they get the euro at a set rate against there previous currency.

in the south as soon as they joined the euro , the prices in the shops rose up.

hence less people willing to pay those prices.

i think this has some bearing on worldwide trading as well.



my sister in law lives in malta and she was saying the inflation has become stupid there since joining the euro.

as for ireland they didn't mind when the property values rose at a mega rate, now they are falling they are not so happy.

jay76


Joined: 17/07/2008
Posts: 532

Message Posted:
01/02/2009 21:31

Zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz

mmmmmm



Joined: 19/12/2008
Posts: 8398

Message Posted:
02/02/2009 01:21

Isn't it funny how when some people don't understand something - instead of ignoring the thread - they highlight their ignorance and lack of economic knowledge by feeling the need to "contribute" ...?

elko2



Joined: 24/07/2007
Posts: 4400

Message Posted:
02/02/2009 01:54

UK has devalued its currency and thus the Irish, Germans etc. are buying a lot more from UK. This is exactly what it was intended. The whole idea of devaluation is to increase exports and reduce imports. Euro is far too expensive for Ireland, Greece and Portugal. This will lead to mass unemployment and thus Euroland may collapse spectacularly. This is the time to sell your expensive Euros and buy cheap pounds.

ismet

sylvie


Joined: 12/03/2008
Posts: 1081

Message Posted:
02/02/2009 10:00

mmmmm,



i wouldn't dare to touch the " sterling symbol" !!! if you know what i mean, it is like touching the queen and there is not common sense for most to talk about it ! bonne journée

fire starter


Joined: 19/06/2008
Posts: 3401

Message Posted:
02/02/2009 16:03

i do agree elko

i think gordon brown is a puppet, but i do think he maybe knows what he is doing.

russia also looks like its taking the same route.

mmmmmm



Joined: 19/12/2008
Posts: 8398

Message Posted:
03/02/2009 11:36

Dear Elko



Under "normal" circumstances I'd agree - but these ain't normal.. folk aren't buying and businesses can't get credit.



China is now facing unemployment and possible "protests" as the grand plan falls apart..



Mr Putin ( sorry Medvedev !) enjoyed popular acclaim on the back of a boom, and public spending based on high oil prices..



Even the Aussies have started to feel the "pinch"



May be we will see "protectionism" from the USA and others..



I can see the GBP was the first to take a "hit" but any "bounce" will be more a reflection on other currencies taking a "hit"..



Best investment now .. insolvency practitioners, auction houses dealing in forced sales... :(