|
The U.S. dollar: It's continually strengthening across world markets, but why? Is there some sort of good news about the U.S. economy I've missed? Is the U.S. tax code suddenly more capital friendly? Are national levels of wages and household incomes rising? Is the labor force suddenly more focused on producing goods that the world wants to buy by the boatload? Are government expenditures suddenly under control? Really, where's the good news? For two months now the dollar has been strengthening.. I must be missing something.
|
Nth hit the nail on the head:
While our economy is hurting, its actually still better off then everyone else. Investments go to safehavens in time of crisis. While US banks are in crisis, so is the rest of the world. US investments as a whole are still much safer then their european and asian counterparts.
Also as he stated the value of our currency is pegged to future expectations. The market expects us to turn it around.