View Full Version : US Dollar In A NoseDive!
abostonboy
03-16-2008, 05:06 PM
My bf, who has a decent job at JP Morgan, warned me that Monday all hell is going to beak loose in the US financial market on Monday. JP Morgan loaned Bear Stearns a ton of money Friday. After that happened, everyone lost faith in Bear. Over the weekend the Feds dropped the interest rate again, Jp Morgan bought the company at (and this is shocking) at $2 a share,
"The deal values Bear Stearns at $236 million, or just $2 a share - shares had closed at $30 on Friday, down 47% that day."
and the Feds dropping in another 30 billion is short term loan.
The Japanese Market which just opened has the US dollar at 97 yen, down from 110 and the lowest since 1995. Correction: it is now 96 yen.
My point: Point just got cheaper for everyone outside the US. This is not good.
p.s. If you are a day trader hop in the market early Monday am. It will be very interesting!
http://www.bloomberg.com/apps/news?pid=20601087&sid=a.kwMtvHsOL0&refer=home
Kakhashi
03-16-2008, 08:29 PM
Bush Sucks! I have lost all my money :(
InsaneSimon
03-16-2008, 10:58 PM
From my Vista widget USD/EUR is around 1,588. XE.com says 1,566
InsaneSimon
03-16-2008, 10:59 PM
Uh, and God bless the GeoIP.
HunkMoneyLuke
03-17-2008, 05:21 AM
yes it totally sucks, since moving to Brazil only 2 months ago the local currency called the Real has gone from 1.79 to 1.69 to the USD, thats a drop of over 5% of the value of my USD currency :(
gaydemon
03-17-2008, 07:03 AM
And the USD / GBP here in the UK isnt any better.. really bad news.
yes it totally sucks, since moving to Brazil only 2 months ago the local currency called the Real has gone from 1.79 to 1.69 to the USD, thats a drop of over 5% of the value of my USD currency :(
archer
03-17-2008, 07:35 AM
and it ain't gonna get any better until the US comes to grip with the fact that it cannot continue to support itself by borrowing chinese money to finance their annual budget deficit.
the chickens are coming home to roost for the US economy :whip:
abostonboy
03-17-2008, 07:54 AM
and it ain't gonna get any better until the US comes to grip with the fact that it cannot continue to support itself by borrowing chinese money to finance their annual budget deficit.
the chickens are coming home to roost for the US economy :whip:
Well at least the market hasn't crashed today. There are "rumors" that Lehman may not be all that strong. Concerning the Chinese, my bf is a trader at JP Morgan, I believe last week he said that he got another 3 bil from the Chinese. They are dumping more money in our economy every day.
marcjacob
03-17-2008, 09:09 AM
The £ is still worth about $2 so no change particuarly. Its been hovering arround that mark for a while now.
gaydemon
03-17-2008, 09:45 AM
It did go up a bit actually which is when I exchanged a big lump of Dollars.. was going to do even more but now its gone down again the $2 mark so too late. :bang:
The £ is still worth about $2 so no change particuarly. Its been hovering arround that mark for a while now.
TropixxxMichael
03-17-2008, 10:08 AM
So do a lot of you actively trade currency? It sounds like a few of you do. Do you find the currency markets more stable than lets say NASDAQ? Or is everything up in the air right now?
abostonboy
03-17-2008, 11:09 AM
So do a lot of you actively trade currency? It sounds like a few of you do. Do you find the currency markets more stable than lets say NASDAQ? Or is everything up in the air right now?
My bf trades currency. But I wouldn't touch it right now. I wouldn't assume anything is "stable". In some countries the US dollar went down (yen) in other countries is actually gained (pound).
The DOW is actually doing good. JP Morgan is rock solid as a company. If they didn't bail out Bear Stearns, the DOW would be a mess.
The Feds are going to drop interest rates again this week. So it maybe ok.
It's just really amazing that Bear Stearns, a company that survived the depression, gets sold for 200+ mil. about a quarter of what the building they own in NYC is worth. (1 bil). The company with 14k employees is not even worth the building they own.
gumdrop
03-17-2008, 11:43 AM
The UK bailed out their banks this morning and that started the ball a rolling...
According to Krugman at the NY Times:
http://www.nytimes.com/2008/03/17/opinion/17krugman.html?_r=1&ref=opinion&oref=slogin
The BIG Bail out is coming...it's going to be interesting to see how they manage it.