U.S. Dollar in Freefall: “Risk of a Disorderly Adjustment of Global Imbalances”
Published on Thursday, September 20, 2007.
http://www.blacklistednews.com/view.asp?ID=4304
Source: Financial Times - Peter Garnham
The dollar dropped to record lows through the $1.40 level against the euro on Thursday as the US currency continued its slide following the Federal Reserve’s decision to cut interest rates earlier in the week.
“The key $1.40 level has been breached and dollar weakness is evident across all currency pairs reflecting the prospect of a move in interest rate differentials against the currency,” said Derek Halpenny at Bank of Tokyo-Mitsubishi.
The euro’s rise through the psychologically important $1.40 barrier - seen as pain barrier for eurozone exporters - triggered a flurry stop-loss buying, sending the single European currency higher across the board.
The euro rose 0.5 per cent to $1.4035 against the dollar and by 0.4 per cent to £0.7006 against the pound – its highest level since January 2005. It gained 0.2 per cent to Y162.20 against the yen.
Meanwhile the dollar fell 0.2 per cent to $2.0050 against the pound, 0.4 per cent against the yen to Y115.55 and 0.6 per cent to a fresh 30-year low of C$1.0090 against the Canadian dollar. It also lost 0.9 per cent to SFr1.1739 against the Swiss franc.
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as the dollar falls it takes more and more to pay for oil and other items, and with a growing deficit, and all of the jobs going over seas and we selling nothing and always importing, can you say dead economy.