Could you guys please explain me about Dollar currency situation?

I lives in third world country and don't know much about the world economic. Only thing I've seen is the us currency go down steady slowly pace but I don't know which cause of it really. Is it possible for Dollar to become stronger in this year? The economic news in my country seems know nothing and couldn't helped me find out anything.

 

The dollar is losing value because USA leaders spend like drunken fools. We can never pay off our debts, so the world markets are rejecting the almighty dollar.

 

No. It's not possible. The US has a massive trade inbalance and needs to see more, buy less.

 

Thanks guy. That's bad because it is effected me directly. However, when do you guys think the dollar could become stronger like it once before?

 

Well...

If every other major country is able to convince China to accept their worthless paper (and Gov debt), in amounts even larger than we stick them with...

Then the dollar will get much stronger.

 

LOL Nice replied. It seems almost impossible for that.

 

Hey, at least there is hope for a better future...
...somehow, some way, everything can get better.

 

We've over extended ourselves, playing to the fact we had the world's reserve currency, that it was "good as gold", even though we went off the last link to gold in 1971.

I figure 25 years of fooling the world is pretty good. The bad news is, there is no quick way to reverse this trend without everyone making personal sacrifices. This means cuts in spending, cuts in taxation, higher interest rates, and contraction of the monetary supply.

 

You're right guerilla, we got away with it for decades.
```````
The Sky Really Is Falling Soon!!!!!

Survival Time:

It's time to buy large amounts of:

* Canned Food
* Whole Grain Brown Rice
* Other non-perishable foods
* Duct Tape


and Big bottles of Rum (more valuable than money & cheaper than gold)


/ps. Some of you might get my home address off of the whois. I do not always follow common sense, and you will not find large amounts of:

* Canned Food
* Whole Grain Brown Rice
* Other non-perishable foods

and

* Duct Tape

at my house.

 

As the world's economies slow, other countries central banks will have to cut rates which will cut into the gap between our rates and theirs and our currency will strengthen

 

True...??

...but rates are not the only factor.
We have over $9,000,000,000,000.xx in debt, how do we (the USA) ever pay it back??

 

Here, watch this video, to know about the dollar situation.
http://www.youtube.com/watch?v=FOKn7tiUMyc

 

Thanks, this is a great watch.

 

Chinese inflation rate is nearly 8% for January. Export is now very expensive to the high transportation costs. We are closing in to a stand still., - worldwide! Maybe good for the environment.

 

The Chinese inflation rate is super high because their currency the Yuan is undervalued.

 

You are probably going to have to wait until the U.S. Presidential elections are over before you see a strengthening of the dollar.

 

The dollar may not strengthen until after the midterm elections in 2010 after the presidential elections.

 

We are in a war, therefore, a huge increase in spending. We have increased our national debt but there is a lot of talk going on about how we can hopefully see our economy improve. Therefore, the dollars value will eventually increase. I think it is just temporary, although a lot of people don't feel like it is.

 

The value of the dollar cannot improve as long as it is being inflated constantly.

 

Over 60% of that debt is own by the US government, yes we borrow from ourself.

Two Other countries aren't swimming in government surpluses, and no debt, so certain degrees they are in the same situation as us, which then leads to interest rates.