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Alex
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 Posted:
Wed Nov 09, 2005 5:00 pm Post subject:
Currencies: How do you value them? |
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Perhaps looking at GDP versus interest rates for both currencies' countries?
For instance, how do you value the dollar versus the euro?
Jimmy Rogers believes that the US will hit a recession in 2006.
But then usually where the US goes, Europe follows economically.
Alex
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Bill Reid
Guest
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| Posted:
Wed Nov 09, 2005 5:00 pm Post subject:
Re: Currencies: How do you value them? |
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Alex <avdeelen.REMOFETHIS1@wanadoo.nl> wrote in message
news:4371e411$1$9379$dbd43001@news.wanadoo.nl...
| Quote: | Perhaps looking at GDP versus interest rates for both currencies'
countries?
Uh, no. Try relative currency flows across borders. Interest rate |
differentials are a causative factor. Large multi-national corporations
trying to protect their overseas profits from currency risk have a
significant
impact on value changes.
| Quote: | For instance, how do you value the dollar versus the euro?
Highly, lately. |
| Quote: | Jimmy Rogers believes that the US will hit a recession in 2006.
But then usually where the US goes, Europe follows economically.
Europe seems to always be in some sort of perpetual recession... |
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William Ernest Reid |
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Alan Bowler
Guest
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| Posted:
Thu Nov 10, 2005 12:26 am Post subject:
Re: Currencies: How do you value them? |
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Bill Reid wrote:
| Quote: |
Europe seems to always be in some sort of perpetual recession...
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Only if you measure in euros. If you measure in US$ it looks
like it is booming.
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Bill Reid
Guest
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| Posted:
Thu Nov 10, 2005 1:01 am Post subject:
Re: Currencies: How do you value them? |
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Alan Bowler <atbowler@thinkage.ca> wrote in message
news:3brcf.2448$43.244@nnrp.ca.mci.com!nnrp1.uunet.ca...
| Quote: | Bill Reid wrote:
Europe seems to always be in some sort of perpetual recession...
Only if you measure in euros. If you measure in US$ it looks
like it is booming.
Well, measured in dollars US companys' revenues and profits in |
Europe looked like they were booming for years. What will they
look like now that the tide is flowing the other way, will their
Forex hedges keep their profitability high?
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William Ernest Reid |
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Arthur
Guest
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Thu Nov 10, 2005 8:05 am Post subject:
Re: Currencies: How do you value them? |
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Local currency vs local inflation vs local interest rates.
"Bad money drives good money out of circulation."
arthur
=
On Wed, 9 Nov 2005 12:04:50 -0000, "Alex" wrote:
| Quote: | Perhaps looking at GDP versus interest rates for both currencies' countries?
For instance, how do you value the dollar versus the euro?
Jimmy Rogers believes that the US will hit a recession in 2006.
But then usually where the US goes, Europe follows economically.
Alex
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Raymond
Guest
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| Posted:
Fri Nov 11, 2005 5:00 pm Post subject:
Re: Currencies: How do you value them? |
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The currency rates are the market mechanism for
appraising countries. Anything that changes the
relative valuation of two countries, or the relative
supply of the two currencies, is going to
effect the free-market currency rate. |
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