Up goes the dollar
Up goes the dollar
Well, flight for safety, possible decrease in demand for copper, central bank ongoing intervention, are all moving the dollar up.
486+, do I hear 490.
http://www.bloomberg.com/news/2011-03-1 ... emand.html
I honestly feel like this is short-term bounce, and if we see above 500 again it will not be for long. The pressure on the dollar from the peso, just somehow feels more permanent and sustained this time. The center of gravity seems like it is more towards the 460-470 level, than towards the 500+ level. Chile's economy has made some serious gains in terms of unemployment and other growth.
New gas price stabilization measure passed. Not sure what that will mean for inflation.
486+, do I hear 490.
http://www.bloomberg.com/news/2011-03-1 ... emand.html
I honestly feel like this is short-term bounce, and if we see above 500 again it will not be for long. The pressure on the dollar from the peso, just somehow feels more permanent and sustained this time. The center of gravity seems like it is more towards the 460-470 level, than towards the 500+ level. Chile's economy has made some serious gains in terms of unemployment and other growth.
New gas price stabilization measure passed. Not sure what that will mean for inflation.
Spencer Global Chile: Legal, relocation, and Investment assistance in Chile.
For more information visit: https://www.spencerglobal.com
From USA and outside Chile dial 1-917-727-5985 (U.S.), in Chile dial 65 2 42 1024 or by cell 747 97974.
For more information visit: https://www.spencerglobal.com
From USA and outside Chile dial 1-917-727-5985 (U.S.), in Chile dial 65 2 42 1024 or by cell 747 97974.
- Hightower
- Rank: Chile Forum Citizen
- Posts: 305
- Joined: Sat Jan 10, 2009 10:42 pm
- Location: 10000 feet high
Re: Up goes the dollar
Most likely a temporary effort because of the "uncertainty" surrounding the potential catastrophe in Japan.
The smaller currencies always take a beating in such situations as investors seek the relative stability of the larger currencies.
The Swedish krona which has been getting stronger and stronger for the past few months also has taken a beating the last few days against both the Euro and USD.
What is indicative is that while the Euro and USD have been gaining in strength relative to the smaller currencies, the Euro/USD rate itself hardly nudged.
The smaller currencies always take a beating in such situations as investors seek the relative stability of the larger currencies.
The Swedish krona which has been getting stronger and stronger for the past few months also has taken a beating the last few days against both the Euro and USD.
What is indicative is that while the Euro and USD have been gaining in strength relative to the smaller currencies, the Euro/USD rate itself hardly nudged.
If you were born to hang, you will never drown
Re: Up goes the dollar
Likely the bigger issue will be how inflation in the States plays out, with QE2 through QE3.
What kind of dampener Japan puts on production might be another wild card.
What kind of dampener Japan puts on production might be another wild card.
Spencer Global Chile: Legal, relocation, and Investment assistance in Chile.
For more information visit: https://www.spencerglobal.com
From USA and outside Chile dial 1-917-727-5985 (U.S.), in Chile dial 65 2 42 1024 or by cell 747 97974.
For more information visit: https://www.spencerglobal.com
From USA and outside Chile dial 1-917-727-5985 (U.S.), in Chile dial 65 2 42 1024 or by cell 747 97974.
-
- Rank: Chile Forum Citizen
- Posts: 1062
- Joined: Sat Nov 13, 2010 1:50 am
Re: Up goes the dollar
In spite of some of the naysayers, the US dollar is still considered a safe haven during times of turmoil vis a vis the emerging currencies. Starting with Egypt, Lybia, and now Japan it has been a nasty month and a half. And with copper down it has not helped. Even the Canadian dollar which had been flying high lost almost 3 cents in less than a week after the earthquake.
Going forward I imagine the Yen will remain strong as money starts flooding in for rebuild.
Going forward I imagine the Yen will remain strong as money starts flooding in for rebuild.
- regioncentralX
- Rank: Chile Forum Citizen
- Posts: 396
- Joined: Fri Oct 29, 2010 12:33 am
Re: Up goes the dollar
From the perspective of this USD origin person...approximately 1 week...473-ish to 486-ish...less than a 3% move...yeah, really big f'in move
...but I'll take it
...
In the past 9 years, the USD has been no safe haven vs. CLP unless you cashed out 650-750 CLP.
Also, what safe haven run? The USDI has hardly budged at 75.94. I do see a pop in 30 year bonds though. But will that last when Japan liquidates a large portion to finance reconstruction?
Other musings: Copper at $4.34 is low? Silver at $34+ is low? Gold at $1400+ is low? NY Crude at $100+ is low?
This is no another July-December 2008.


In the past 9 years, the USD has been no safe haven vs. CLP unless you cashed out 650-750 CLP.
Also, what safe haven run? The USDI has hardly budged at 75.94. I do see a pop in 30 year bonds though. But will that last when Japan liquidates a large portion to finance reconstruction?
Other musings: Copper at $4.34 is low? Silver at $34+ is low? Gold at $1400+ is low? NY Crude at $100+ is low?
This is no another July-December 2008.
¡ This is Sshiile Weon !
-
- Rank: Chile Forum Citizen
- Posts: 1062
- Joined: Sat Nov 13, 2010 1:50 am
Re: Up goes the dollar
I have this recurring dream where I devour an apple pie (lattice topping.... not crumb) with lucuma ice cream on the side. But alas no lucuma here and when I go to Chile I am always too lazy to make a proper apple pie. I think it will be easier for me to get some lucuma powder and make the ice cream here.el puelche wrote:Too late, all gone---til we make another one...
p

-
- Rank: Chile Forum Citizen
- Posts: 1062
- Joined: Sat Nov 13, 2010 1:50 am
Re: Up goes the dollar
I will take a good apple kuchen any day.el puelche wrote:maybe I should say it was an apple kuchen---before this gets any more out of hand.
p
-
- Rank: Chile Forum Citizen
- Posts: 1483
- Joined: Thu Nov 20, 2008 12:24 am
- Location: La Serena
Re: Up goes the dollar
Yeah, so people were forgetting yesterday's 0.5% interest rate rise (sorry, would have mentioned that yesterday but was busy with my wedding anniversary). Hopefully it won't interrupt the upward trend for long though... or maybe I shouldn't hope that as it's much the same as hoping for continued chaos in the Middle East & Japan.
- greg~judy
- Rank: Chile Forum Citizen
- Posts: 2976
- Joined: Wed Jan 27, 2010 2:00 pm
- Location: citoyens du(h) monde
Re: Up goes the apple kuchen
kindly refer to this thread page... [greg~judy » 18 Mar 2011 05:18]
http://www.allchile.net/chileforum/post ... tml#p60082

http://www.allchile.net/chileforum/post ... tml#p60082
Things are not what they appear to be: nor are they otherwise.
--- Surangama Sutra
“If we want everything to stay as it is, everything will have to change."
--- Giuseppe Tomasi di Lamedusa
--- Surangama Sutra
“If we want everything to stay as it is, everything will have to change."
--- Giuseppe Tomasi di Lamedusa
- regioncentralX
- Rank: Chile Forum Citizen
- Posts: 396
- Joined: Fri Oct 29, 2010 12:33 am
Re: Up goes the dollar
481.950 USD/CLP
75.85 USDI
HOT DAMN, the USD is going to da moon I tell ya!!
And the Chilean Peso be melting down...
75.85 USDI
HOT DAMN, the USD is going to da moon I tell ya!!
And the Chilean Peso be melting down...

¡ This is Sshiile Weon !
- greg~judy
- Rank: Chile Forum Citizen
- Posts: 2976
- Joined: Wed Jan 27, 2010 2:00 pm
- Location: citoyens du(h) monde
Re: Up goes the dollar
dear friend rcx... either you misspoke...regioncentralX wrote:481.950 USD/CLP
75.85 USDI
HOT DAMN, the USD is going to da moon I tell ya!!
and meant the usd is descending to the dismal depths of hades...
or - you mayhaps have better drugs than we do!

Things are not what they appear to be: nor are they otherwise.
--- Surangama Sutra
“If we want everything to stay as it is, everything will have to change."
--- Giuseppe Tomasi di Lamedusa
--- Surangama Sutra
“If we want everything to stay as it is, everything will have to change."
--- Giuseppe Tomasi di Lamedusa
- regioncentralX
- Rank: Chile Forum Citizen
- Posts: 396
- Joined: Fri Oct 29, 2010 12:33 am
Re: Up goes the dollar
Who needs drugs when I face the cell tower syncing with HAARP, listen to financial talking head experts on TeeVee, listen to the armchair experts on the forums and bow down to Bernanke-Geithner and company ... 

¡ This is Sshiile Weon !