Dollar Falls to 11-Year Pound Low
Jan 6th 2004, 11:17 am
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Dollar Falls to 11-Year Pound Low
alarming....
http://news.bbc.co.uk/2/hi/business/3371689.stm
". . .That means investors can find better returns elsewhere and are unlikely to buy US bonds, which are being sold to finance the country's ballooning budget deficit.
It also seems that the administration of President George W Bush is unconcerned about the slide in the currency because the cheaper US goods become, the more demand there will be for exports.
While that may spell good news for the US economy, it may have a significant effect on European hopes for a recovery.
According to economists at Societe Generale bank in London, "the impact of the latest euro rally is likely to be felt soon, and a further rise may jeopardise all hopes of an upturn in eurozone activity".
http://news.bbc.co.uk/2/hi/business/3371689.stm
". . .That means investors can find better returns elsewhere and are unlikely to buy US bonds, which are being sold to finance the country's ballooning budget deficit.
It also seems that the administration of President George W Bush is unconcerned about the slide in the currency because the cheaper US goods become, the more demand there will be for exports.
While that may spell good news for the US economy, it may have a significant effect on European hopes for a recovery.
According to economists at Societe Generale bank in London, "the impact of the latest euro rally is likely to be felt soon, and a further rise may jeopardise all hopes of an upturn in eurozone activity".
