http://money.cnn.com/2008/04/18/markets/thebuzz/index.htm?postversion=2008041811
Well as a short explination and not knowing how much you know it is hard to explain but i will say it like this. The US economy has suffered terribly due to the home loan and credit crisis, this has resulted in haulted spending and growth and caused a lot of trouble in the financial sector among others resulting in a weakened economy and a weakened dollar. If you look at most of this quarters reports they are still - but not anywhere near as bad as last quarter indicating that we are on our way back up which will bring the dollar with it driving down oil prices.
I don’t see it. I know opinions are like assholes, but I worked exclusively in fx trading for about 2 years before I started my mba. That article just doesn’t sit well with me.
Well you are right that it is only opinion and i believe the turn around might not be here just yet but i also believe that the US economy isnt just going to wither up and die son i dont worry about it too much. In the end if it is hitting $117 while our dollar is tanked and economic growth is minimal then i believe WHEN we stabilize it will come back down. It just isnt something i will lose sleep over…besides eventually we will have to cut our dependancy on oil…right? But like you say it is all opinion now and only time will tell.
Has an interest rate cut ever resulted in an increase in the value of the dollar?
I’m still confident in the US economy, but with the election in the fall and all the other variables it’s just a bit too uncertain to make accusations like continued dollar strength in over the next 6 months. And, generally, fed rate cuts do not help the greenback. If you lower interest rates you lower demand for the currency.
Sure, if it’s the BOE or ECB that was doing the cutting 
I’m likely going to start shorting oil after the next rate cut, with money I can afford to lose. If that bet doesn’t pay off the US economy is likely fucked anyway, so i’ll go down with it.
I’m just hoping that employment will rebound in 3 years so I can get a job. I’m going to have a lot of debt to pay off so I kinda like inflation.
Word i am taking similar investing strategy if the economy goes dowm well start me on fire and ill be a blaze of glory.
It’s all about speculation. If the speculation is it’s the last cut then yes, I could see the dollar going up. The old buy low theory.
according to point and laugh economics i believe I am obligated to provide a nelson ha-ha on that.
1 half way decent terror attack on a pipline, or tanker, or a huge hurricane through the Gulf and prices will skyrocket. If Al-queda or some other terrorist group wanted to make a statement right now they could really make a big one.
Yes but not because i am on fire but because i will be poor at which time i will follow with my point and laught because you are riding it down to so you will be poor as well. WAIT we would bth be poor so neither of us will be pointing or laughing we will hav to find one of them commies that put all of their money toward oil and metals to laugh at us.
oh, you can laugh & point at each other all that you want to… becuase no one cares what the poor do amongst the poor.
So take my bet. Either you honestly think it’s going to happen or you’re no better than the media.
i honestly think it will happen. i meant $5 a gallon for 93 octane.
If it’s the station at Millersport and N.Forest maybe because that asshole is a whole dollar higher for super than regular.
I really doubt 93 hits $5 at many stations though. That would mean regular is around 4.70-4.80.
yeah, the new one, what is that dude’s deal? I did a quick drive-through when i saw that but I felt like going in there and asking for the owner, to give him a piece of my mind.
:bigclap:
someone needs to do something about that.