why is the dollar rallying?

[kev374]

Holy smokes…

1 GBP = 1.75 USD
1 EUR = 1.40 USD

what is behind this rally and will it keep it’s trend? Is this a good time to stock up on some Euros?

[peterb]

The world is headed in to a global recession and it turns out other currency are fairly flawed as well as the US$. At least that’s the way the market is looking at it now. So the US$ is gaining against the other major currencies. But gold is holding pretty steady. Kinda like a race to the bottom. But historically speaking, after a large credit bust the senior currency usually is valued higher than other currencies.

[peterb]

The world is headed in to a global recession and it turns out other currency are fairly flawed as well as the US$. At least that’s the way the market is looking at it now. So the US$ is gaining against the other major currencies. But gold is holding pretty steady. Kinda like a race to the bottom. But historically speaking, after a large credit bust the senior currency usually is valued higher than other currencies.

[peterb]

The world is headed in to a global recession and it turns out other currency are fairly flawed as well as the US$. At least that’s the way the market is looking at it now. So the US$ is gaining against the other major currencies. But gold is holding pretty steady. Kinda like a race to the bottom. But historically speaking, after a large credit bust the senior currency usually is valued higher than other currencies.

[peterb]

The world is headed in to a global recession and it turns out other currency are fairly flawed as well as the US$. At least that’s the way the market is looking at it now. So the US$ is gaining against the other major currencies. But gold is holding pretty steady. Kinda like a race to the bottom. But historically speaking, after a large credit bust the senior currency usually is valued higher than other currencies.

[peterb]

The world is headed in to a global recession and it turns out other currency are fairly flawed as well as the US$. At least that’s the way the market is looking at it now. So the US$ is gaining against the other major currencies. But gold is holding pretty steady. Kinda like a race to the bottom. But historically speaking, after a large credit bust the senior currency usually is valued higher than other currencies.

[(former)FormerSanDiegan]

The US economy is starting to suck less compared to the rest of the world.

Well, maybe not yet. But, my guess is that it’s cyclical. The US economy was the first to weaken as the rest of the world chugged along, leaving the dollar in the dust. Now, the US is further along in its recession, just as the rest of the World realizes they are also heading into one.
ECB and UK stopped raising rates.

The cyclical pattern of business cycle-driven changes in exchange rate is superimposed on any long-term secular trends.

[(former)FormerSanDiegan]

The US economy is starting to suck less compared to the rest of the world.

Well, maybe not yet. But, my guess is that it’s cyclical. The US economy was the first to weaken as the rest of the world chugged along, leaving the dollar in the dust. Now, the US is further along in its recession, just as the rest of the World realizes they are also heading into one.
ECB and UK stopped raising rates.

The cyclical pattern of business cycle-driven changes in exchange rate is superimposed on any long-term secular trends.

[(former)FormerSanDiegan]

The US economy is starting to suck less compared to the rest of the world.

Well, maybe not yet. But, my guess is that it’s cyclical. The US economy was the first to weaken as the rest of the world chugged along, leaving the dollar in the dust. Now, the US is further along in its recession, just as the rest of the World realizes they are also heading into one.
ECB and UK stopped raising rates.

The cyclical pattern of business cycle-driven changes in exchange rate is superimposed on any long-term secular trends.

[(former)FormerSanDiegan]

The US economy is starting to suck less compared to the rest of the world.

Well, maybe not yet. But, my guess is that it’s cyclical. The US economy was the first to weaken as the rest of the world chugged along, leaving the dollar in the dust. Now, the US is further along in its recession, just as the rest of the World realizes they are also heading into one.
ECB and UK stopped raising rates.

The cyclical pattern of business cycle-driven changes in exchange rate is superimposed on any long-term secular trends.

[(former)FormerSanDiegan]

The US economy is starting to suck less compared to the rest of the world.

Well, maybe not yet. But, my guess is that it’s cyclical. The US economy was the first to weaken as the rest of the world chugged along, leaving the dollar in the dust. Now, the US is further along in its recession, just as the rest of the World realizes they are also heading into one.
ECB and UK stopped raising rates.

The cyclical pattern of business cycle-driven changes in exchange rate is superimposed on any long-term secular trends.

[(former)FormerSanDiegan]

I guess I type slow and peterb beat me to the punch. (I was actually looking at historic trends of dollar versus the Pound and Mark since the Euro is too “new”).

[(former)FormerSanDiegan]

I guess I type slow and peterb beat me to the punch. (I was actually looking at historic trends of dollar versus the Pound and Mark since the Euro is too “new”).

[(former)FormerSanDiegan]

I guess I type slow and peterb beat me to the punch. (I was actually looking at historic trends of dollar versus the Pound and Mark since the Euro is too “new”).

[(former)FormerSanDiegan]

I guess I type slow and peterb beat me to the punch. (I was actually looking at historic trends of dollar versus the Pound and Mark since the Euro is too “new”).

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