Dollar was down for a long time compare to Euro . Few weeks ago there was exchanges $:€ (1.60:1), but recently there is something like (1.35:1) Dollar is growing undoe the economy is down more than in Europe. Why is that? Can anybody explain? I hope it will soon be equal currencies!
The dollar has been weakening for some time due to measures taken by the federal reserve board to prevent a huge economic crisis. The economic crisis is hitting other countries now and they are having to take the same measures.
The reason the euro is down and every other currency out there is because the US is a consumer nation. What dose that mean? Simple if we don’t consume and buy everyone suffers. So due to our economy other countries are suffering as well as we are.
Turns out the economies of many countries are not exactly booming. The European Union just dumped 2 Trillion into the Banks in Europe. Makes the USA 700 Billion seem kind of small. If you really want to understand it you have to go back to the Money Supply and the choice to separate Money from Money backed by the Gold Standard. Demand Deposits are simply numbers on paper.
well it'S not like the economy here in europe is doing that bad. and there were no major measures by the ecb if I remeber rightly. I would agree with tigrrra, europe is exporting very much and if there is nobody left that is able to buy in the us for e.g the economy in europe will not grow I would not call it economic crysis because germany is expacting a growth for the next year but it would be as much as the last years