Dollar Falls to Three Year Low

[Lumi]

Dollar Falls to Three Year Low
<!-- | http://madjacksports.com/forum/#comments_controls
-->Steven C. Johnson
Reuters

May 4, 2011

The dollar fell to a fresh three-year low on Wednesday and the euro briefly rose above $1.49 as weaker-than-expected U.S. employment data convinced investors that U.S. interest rates would remain low this year.
The yen also hit a six-week high against the dollar after data showed the pace of growth in the dominant U.S. services sector also slowed unexpectedly in April, another sign the U.S. economy may be hitting a soft patch. See [ID:nN04186623]

With markets worried about a yawning U.S. budget deficit, traders said signs of slower growth will only add to trouble for the dollar, which fell to a three-year low against major currencies Wednesday. It has lost 7.7 percent in 2011.

Read entire article

 

[Trench]

And Skulnik can't figure out why gas prices are so high. I'll see if I can help him out...

The Dollar falls to a 3 year low.

Hmmm... When was the last time gas prices were this high? I've got it! :idea: 3 years ago!

Why? I've got it! :idea:

Because oil is traded in U.S. dollars. So when the dollar is weak, OPEC increases the price per barrel to offset the losses they would otherwise incur with the weakened exchange rate of the dollar to say Saudi Riyals.

Of course, supply, demand and price speculation all play their part as well.

 

[Duff Miver]

The dollar is in the crapper because of the Bernanke give-away interest rates, which are essentially zero.

That cannot last. The markets will reign in even Ben "Run, run, it's 1929" Bernanke.

The smart money is selling other currencies and commodities and buying dollars.

Just ask Carlos Slim, who could buy Warren Buffet with pocket change.

Or you could ask Skulnuts who would reply:

"Carlos Slim? Is that like a Mexican Slim Jim?"

 

[Lumi]

doesn't he play slide guitar for Jimmy Buffet?

 

[Duff Miver]

doesn't he play slide guitar for Jimmy Buffet?

Naw. You're thinking of Panhandle Slim. Carlos Slim was Roy Rodgers sidekick.

 

[Turfgrass]

I guess this was a bad year to plan my Europe vacation.

 

[ssd]

Turf:
are you really Clark Griswold?

 

[Turfgrass]

That's like asking the Lone Ranger to take off his mask young man...and that's MR. Griswold to you. (Hero of food preservatives)

 

[Skulnik]

And Skulnik can't figure out why gas prices are so high. I'll see if I can help him out...

The Dollar falls to a 3 year low.

Hmmm... When was the last time gas prices were this high? I've got it! :idea: 3 years ago!

Why? I've got it! :idea:

Because oil is traded in U.S. dollars. So when the dollar is weak, OPEC increases the price per barrel to offset the losses they would otherwise incur with the weakened exchange rate of the dollar to say Saudi Riyals.

Of course, supply, demand and price speculation all play their part as well.

Trench, you need to tell this to the MORONS who always blamed Bush and Cheney, I always JOKE that Obama and Biden are to BLAME.


:facepalm: