
At the moment we are waiting to see, how much FED will low the interest rates. The average estimation is one percent from 3% to 2%.
Earlier I wrote about web earnings falling at July and last September I wrote about dollar falling and from those days dollar has fallen from 0,724€ and 0.7181 to 0.6341€.
So when FED lowers the interest rates, dollar is going to loose against other currencies. For the Americans, this would not be that bad if there were no inflation. But at the moment FED is not that worried about inflation as the ECB, so the desperate rescue attempts will just increase the inflation.
This far lowering the interest rate has helped few weeks before another is needed. Perhaps we will see the 0% interest rate later this year?
One interesting question is, that will FED destroy the dollar's status as the World's main currency? The is no stability in dollar and at the moment the Euro would be an another solution. It dollar inflation turns to hyperinflation, something has to be done.
Well personally I know what to do. I will cash out every dollar I can as fast as possible and turn them to Euros.
You're in Easy Mode. If you prefer, you can use XHTML Mode instead. |