EURO is getting killed!!!

[deflateIT]

I like Mega's topics with dramatic names.
Though I'd add one like that today.
USD/EUR=$1.19

http://www.reuters.com/article/idUSTRE65368I20100604

With international fiat race to the ground I start to think of a new rule on gold allocation: 40%-70%

[globaleconomicollaps]

Re: EURO is getting killed!!!

remember this?
euro-longterm.png

I was there in 2002. The papers where full of gloomy projections about exports. Aside from getting plastered every night on high quality wine, I didn't see any negative effects. Why is everyone getting riled up about this now? Note that not only did we have 1 dollar < 1 euro for several years, but at the peak it was about 80 cents to the euro. We saw a full doubling of the euro from $.80 to $1.60 in 6 years.

[D-Mack]

Re: EURO is getting killed!!!

As long as Oil isn't going into the $140 sphere...........:eek:

[sishya]

Re: EURO is getting killed!!!

remember this?
[ATTACH]3352[/ATTACH]

I was there in 2002. The papers where full of gloomy projections about exports. Aside from getting plastered every night on high quality wine, I didn't see any negative effects. Why is everyone getting riled up about this now? Note that not only did we have 1 dollar < 1 euro for several years, but at the peak it was about 80 cents to the euro. We saw a full doubling of the euro from $.80 to $1.60 in 6 years.

Right. I expect EUR will rise up in a few months. That will be the time to short USD and Stocks.
I expect it to be after Mid Term US elections in Dec 2010.

[jmaxey]

Re: EURO is getting killed!!!

Does anyone but me think that Total SA, Statoil and Royal Dutch Shell with dividends in the 7% range are a good buy at these levels for long term investors?

[GRG55]

Re: EURO is getting killed!!!

Does anyone but me think that Total SA, Statoil and Royal Dutch Shell with dividends in the 7% range are a good buy at these levels for long term investors?

I've been looking at Total. It's products are priced in US Dollars, not Euros, and a good portion of its operating costs are in Euros. Seems to me that should help Total, but the market seems to think otherwise at the moment.

[jmaxey]

Re: EURO is getting killed!!!

The market is not wrong..it's just confused right now. A link for your perusal

[deflateIT]

Re: EURO is getting killed!!!

Medvedev wants stable Euro, or else:

http://www.upi.com/Top_News/Internat...7431275767862/

So what will happen if Euro continues to fall?

[Minion]

Re: EURO is getting killed!!!

I'm in the camp that the Euro should be bought with the proceeds of ringing the $usd and treasuries cash registers, if you play currencies.

Gold is looking manipulated, like a game the banksters are playing. I think they're accumulating it, then shorting to stimulate the gold community to panic.

Smart money is pretty awesome.

[jmaxey]

Re: EURO is getting killed!!!

when lamp posts are decorated with bankers, I will probably sell my gold.

[Minion]

Re: EURO is getting killed!!!

when lamp posts are decorated with bankers, I will probably sell my gold.

They're accumulating it for a good reason.

Fiat currencies are on fire! $USD is petrodollar, creature of habit. Remember when Enron shares were equally high?

[globaleconomicollaps]

Re: EURO is getting killed!!!

http://www.zerohedge.com/print/145963

EURUSD Plunging On News European Aid Package In Jeopardy
By Tyler Durden
Created 06/06/2010 - 19:01

By now everyone is aware that the G20 meeting failed to come to a consensus vis-a-vis strategic rescue approaches on the global bailout, with Tim Geithner pushing for uber-Keynesianism, while a far more prudent Europe saying enough [1]to record deficits, and in essence potentially putting the end to the avalanche of endless bailouts and the Bernanke Uber-Put. At least such is the case until tomorrow when Europe's bureaucrats wake up and see a EURUSD at a level that rounds down to 1.10. The reason: Der Spiegel [2]reports that Germany's high court is considering blocking Germany's participation in the European rescue package, a development which if it were to come to pass, would send the euro plunging to parity not with the dollar but with zero.

Translated from German [3]:

The Federal Constitutional Court, order against the euro rescue to adopt an interim measure. This would allow the court provisionally prohibit the federal government to guarantee loans to enable the German. Against the rescue package are constitutional complaints against several.

The President of the Constitutional Court, Andreas Vosskuhle had to Gauweiler complaint, according to information of the SPIEGEL explicitly asked for opinions of different jobs: He led them to the Federal Government, the Bundestag, the Federal President, all state governments, the European Central Bank and the German Bundesbank and asked for feedback. It is Vosskule a request for interim relief, the Gauweiler associated with its application has. Gauweiler has brought in Karlsruhe already against the Treaty of Lisbon complaint. Disturb him, "that is further given unchecked power to EU bodies.

The German government warned that an interim order could lead to a "self-fulfilling expectation of default" by Europe's troubled states. As readers will recall, all it takes is for a country sovereign debt spread to to widen to 5% over Bunds, for them to have an "out" from the EU rescue package, a loophole most will surely take advantage of eagerly as soon as the market processes this latest development. All in all, another week of pain for Europe approaches, and of even greater pain for the US manufacturing sector, which paradoxically was the only one to materially add new jobs in the latest NFP report.

* Ben Bernanke
* European Central Bank
* Sovereign Debt
* Tim Geithner

Source URL: http://www.zerohedge.com/article/eur...ckage-jeopardy

Links:
[1] http://www.ft.com/cms/s/0/786776b4-7...44feabdc0.html
[2] http://www.spiegel.de/politik/deutsc...698926,00.html
[3] http://translate.google.at/translate...ml&sl=de&tl=en