Can the US survive the Euro's attack?

Let me first state that im very attached to my country and the principles it was created under. I served my country for 6 years and im proud to have served. I believe our way of life is the best thing going but for how much longer?

Only time will tell.................

Now for the real reason why America is in the Middle East and threatening to get deeper all over the planet. It’s all about the Dollar-VS- The Euro my friends plain and simple. Today most open markets are regulated by the value of the US dollar but the Euro is taking over.

Let’s look at why the euro was created. It was created to directly compete with the US dollar on the worlds open markets. The euro has successfully beaten the dollar one on one. And is threatening to replace the dollar as the world’s reserve currency.

The link below gives a good perspective about the decline of the US dollar and what is happening to the Dollars power world wide.

Could the Euro Replace the Dollar as the World's Reserve Currency?

econedge.org...

Why did America go into IRAQ read the link it says it all.

www.rationalrevolution.net...

Iraq switched to the euro so the US went in (twice) and finally took Saddam out and now has control over IRAQs oil reserves. (A little buffer for the change getting ready to go down with respect to the oil markets)

This is why Britain was on our side and why Germany and France were not, they trade in Euros. Also why Russia and China stood back and didn’t get on board. They to are thinking about dumping the dollar for Euros.

What is going on in the world now is about the US Dollar and the power it brings the US in the worlds markets. The US would be devastated if we had to buy our imports with Euros instead of dollars. The result could be another depression in the US as energy costs alone would double if not triple in cost to the consumer.

I would venture to say that the real reason the US is doing what its doing is to try and re establish the power of the almighty dollar aorund the world.

My opinion of course

Take care All

I don't think the Euro will replace the dollar. The Euro's been around for, what, seven years? and the dollar is still here. The fundamentals of the European economy are just too weak for something like this to happen, IMHO. However, I can definitely see a "western powers" supercurrency being established. I think it is totally possible to have one currency for Europe, most countries (including the U.S.) in the Western Hemisphere, Israel, Australia, New Zealand, and the democratic countries in Asia. I will be surprised if I do not see something like that in my lifetime (I'm 23).

Originally posted by geemony
Now for the real reason why America is in the Middle East and threatening to get deeper all over the planet. It’s all about the Dollar-VS- The Euro my friends plain and simple. Today most open markets are regulated by the value of the US dollar but the Euro is taking over.

The US economy is beginning to fail, a sevice based economy that imports far more then it exports will only last so long.

Let’s look at why the euro was created. It was created to directly compete with the US dollar on the worlds open markets.

No it wasn’t, it was created to be the currency for a united Europe.

The euro has successfully beaten the dollar one on one. And is threatening to replace the dollar as the world’s reserve currency.

That would make since, the European market is expanding while the is stagnant/recession.

What is going on in the world now is about the US Dollar and the power it brings the US in the worlds markets. The US would be devastated if we had to buy our imports with Euros instead of dollars. The result could be another depression in the US as energy costs alone would double if not triple in cost to the consumer.

The US is devastating it’s self by importing far more then it needs.

Originally posted by uberarcanist
I don't think the Euro will replace the dollar. The Euro's been around for, what, seven years? and the dollar is still here.

Hows it going UC? Agreed but look at the dollars decline over those 7 years against the Euro.

The fundamentals of the European economy are just too weak for something like this to happen, IMHO.

I would agree with this but again this is why they created the euro in the first place. To take on the Dollar and hurt the US economy in the long run. They know they can’t deal with us on the battle field so go at us from the side over time.

However, I can definitely see a "western powers" super currency being established. I think it is totally possible to have one currency for Europe, most countries (including the U.S.) in the Western Hemisphere, Israel, Australia, New Zealand, and the democratic countries in Asia.

I see this to but a bit differently, I see the US establishing a super currency with Britain and north American countries save a few who hate us , like Cuba and Venezuela maybe even some south American countries along with Australia and Japan our allies.

Is this meant to strengthen the U.S. Dollar or destabilize it enough for the Amero to rise and "Save the Day!"? The Op makes some sense, Ubercanarist makes some good counterpoints and Mr Mxyztplk also points some good stuff out...especially this:

The US economy is beginning to fail, a service based economy that imports far more then it exports will only last so long.

Scary, seeing that printed out. But yes, another good topic here.

Cuhail

Originally posted by Mr Mxyztplk
No it wasn’t, it was created to be the currency for a united Europe.

That may be but it is in direct competition with the dollar world wide and the dollar is losing, and if you don’t think the European union knows this then nothing I say can make you believe what their real agenda for its creation was.

The link in the original post has an article which backs my thought on this up IMO.

Thx for the discussion Mr. M

Take care


Edit quote links

[edit on 25-10-2007 by geemony]

reply to post by Cuhail


Good point Cuhail, Is this the push that a unified north American union needs to make it happen? I dont know im not a global economist but I see our dollar loseing miserably on the worlds markets. And with IRAN, Russia , China all getting ready to dump dollars for Euros in the oil markets its no wonder why the US is going into the middle east. We will need that oil when we cant afford to buy it with Euros.

Thx and take care


spelling edit

[edit on 25-10-2007 by geemony]

Originally posted by geemony
That may be but it is in direct competition with the dollar world wide and the dollar is losing, and if you don’t think the European union knows this then nothing I say can make you believe what their real agenda for its creation was.

I see where you and the site are coming from, but the Euro success vs. the dollar has less to do with gains of the Euro and more to do with losses by the dollar, the US dollar is failing nearly across the board.

Originally posted by Mr Mxyztplk
I see where you and the site are coming from, but the Euro success vs. the dollar has less to do with gains of the Euro and more to do with losses by the dollar, the US dollar is failing nearly across the board.

Agreed America has never been fiscally responsible but doesnt it also show that countries who dont hold the same views we do can switch to the Euro now and deal the US a blow to its power across the board. It goes with the saying those with the most power make all the rules or something like that. And unfortunatly money is power on this rock isnt it?

Good points though Mr. M thx much

everything moves in cycles.
i cannot find one single fiat currency that has lasted more than 50 years without hyperinflation or total collapse or both.
anyone care to dig and prove me wrong

[enter stage right] Amero to save the day. the name will change, the scam will stay the same.

The Europeans wouldn't want their currency to appreciate too much, this will make their exports too expensive and increase imports. A depreciating dollar on the other hand is good for US exporters and local industry, since exports are cheaper and imports more expensive. I know that the Europeans are starting to get annoyed at the Chinese, who have gone from pegging their currency lower than the dollar, to basically pegging their currency lower than the Euro. This has hurt a lot of European exporters, especially in the textile industry.

Originally posted by Cthulwho
A depreciating dollar on the other hand is good for US exporters and local industry, since exports are cheaper and imports more expensive.

But only for them, the US is the worlds biggest importer so for the other 99.999% of people, everything gets more expensive and a possible depression sets in.

Originally posted by Cthulwho
The Europeans wouldn't want their currency to appreciate too much, this will make their exports too expensive and increase imports. A depreciating dollar on the other hand is good for US exporters and local industry, since exports are cheaper and imports more expensive. I know that the Europeans are starting to get annoyed at the Chinese, who have gone from pegging their currency lower than the dollar, to basically pegging their currency lower than the Euro. This has hurt a lot of European exporters, especially in the textile industry.

Finally, a rational thought. Listen before the US would allow the take over of the EURO, they would look for a complete change. How about the Global? The whole idea of the Euro was not to just compete directly with the US$, it was for competition period. Having 1 currency in Europe is like having 1 currency in the states. Could the US survive with 50 different currencies? Been there...done that. It did not work. Can you imagine the beating the Californian would have taken over the past week with all those fires? The Alaskan would be kicking everyone's butt right now (except for maybe Texas) with all the petro $ its making.

Now, before everyone panics.........YES the US$ is hurting, but we are by no means at a breaking point. And, if we get there, the US Treasury, The FED and the big banks have tons of things they can do to perk it up. First off they would buy the US$ in the open markets. BUT, a low dollar is about the only helping the slowing economy right now, so don;t look at this to happen. The US dollar will not go down for ever. In fact I really believe most of the weakening is just about over. Would I be short the US$, NO. Would I be long it? NOT YET.

Be patient. It truly is all about cycles. Just like Global Warming is. (BUT, thats another thread)

23
DAM

Traderonwallst, your optimism on the US dollar is greatly appreciated.
I also remember when gasoline cost 35 cents a gallon at the Chevron Station.

[edit on 26-10-2007 by Skydancer]

reply to post by traderonwallst


What are BenDover and Paulson supposed to do? Constrict the money supply a bit? Raise the FF rate? Paulson has repeatedly said that a high dollar "is in our best interest", but the action of the Treasury and the FED sure have not amounted to that conclusion. Paulson is knee deep in tricky SIV bailouts, I doubt that is doing anything for foreign investor confidence in the dollar. Capital flight and shaky geopolitics do not bode well either.

Also a question for you trader, what is your opinion on the ABX?

Check out the recent $400M discount window borrowing. So that's where that rally came from...

This week: www.federalreserve.gov...
Last week: www.federalreserve.gov...

I want to thank all of you for the great feedback and different perspectives. I agree with some not sure about others. Trader, I surely do have hope our Dollar will become strong again because, a weak currency does not help any country. In addition, as big and as populated as the US is, the fall out could be tragic if the dollar tanks on a global scale. I think we have to see what happens with the change over to the euro on the oil market by major countries like China , Russia and of course Iran, Venezuela etc. They have threatened to do it so lets see what happens if they do change to the euro. IRAQ did it in 2000 and we have what we have now because of it IMHO.

I would like to think also that our so-called friends and enemies around the world have not figured out how to take us down a few notches. They realize the US is the supreme military power on earth right now. Therefore, IMO they will come at us sideways with a financial attack on our currency. I also feel this is why the US is now in control of Iraq’s oil production. We will need this supply if and when the oil industry is retooled to switch over to the euro. Anyway it’s my CT i guess.

Thanks for the hits everyone. The continued value of our currency is our power and it really scare the hell out of me that its so fragile right now.

Take care

I never said our Dollar would would become strong again, but would strengthen.

I am going to work on a thread and post it sometime early next week about the dollar. I am no longer and equity trader, and never was a currency trader, but there are some trading techniques that could force the dollar up without any intervention from the FED. If the traders run out of the easy money oil trade, the UD$ would surely be there next target to artificially inflate for profits.

Will talk more about that in the thread.

The rally came from smoke and mirrors.!

I see this to but a bit differently, I see the US establishing a super currency with Britain and north American countries save a few who hate us , like Cuba and Venezuela maybe even some south American countries along with Australia and Japan our allies.

If you think the British will happily give away their currency with some US established bast*rd pounllar then you're sorely mistaken. Sure, the alliance between the US and UK is strong but don't mistake it for blind loyalty. We fought and beat Euro politicians to keep our sterling and we'll fight and win against the US to keep our sterling. There will be no "super dollar," no-one in the UK would accept such a crass idea.

You oviously have no clue about how intermingeld our 2 governments are. You obviously have no idea how business works.

Although, I too agree there will be no super $ between our 2 nations in the immediate future, my reasons are quite different. I base them on logic, and not the uncommon sense that you attempt to rationalize. Don't call us a Bastard nation either. 'dem fighting words. We fought that fight along time ago.

en.wikipedia.org...

the international bankers (Money Lords) control the $...no shortage of evidence about their links with war & power trippers....or how nation states go to them for loans...are in 'debt' to them...same thing that happened to Rome prob. happen to U.S. too....spread to thin...went broke...weather warfare looks like not helping either...soon won't have to worry about $....won't be any...just chip implant.