General Question

trailsillustrated's avatar

Do you think the US dollar will rally?

Asked by trailsillustrated (16799points) April 6th, 2011

I’m moving to Australia and going to have to transfer USD back- I looked today and for the first time I can remember the usd is down against- should I wait and hope it comes up?

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16 Answers

12Oaks's avatar

Early 2013 at the earliest. Until then, incompetence will still keep its value down.

WestRiverrat's avatar

Not as long as the Federal Reserve keeps kicking out currency at a record pace.

WasCy's avatar

The only way we’ll ever be able to pay our debt (and even more suddenly if the USD is dropped as the world’s reserve currency) will be to make it worthless.

No, I don’t expect a recovery now or any time in my lifetime.

cockswain's avatar

A large component of this is psychological. Note the first three responses all have a lack of faith. Probably this isn’t a unique sentiment. So one might guess the dollar might lose value for the foreseeable future in part due to a lack of confidence.

Foolaholic's avatar

I truly hope it does, because the euro exchange rate is killing me

WasCy's avatar

It’s less a matter of faith, I think, than of simple supply and demand. We keep printing them, and the rest of the world wants them less and less. Zimbabweans could tell us all about this phenomenon.

WestRiverrat's avatar

@WasCy so could any Germans that lived through teh Weimar Republic.

dabbler's avatar

USD vs AUD possibly small enough volume that pricing is controlled and won’t trend with reason. Trade em when you need em.

WasCy's avatar

Agreed, @WestRiverrat. Except that anyone who was in that position then (and still alive) was a child, and probably not in a position to comprehend then. However, this has happened many times since then, in Argentina, Brazil, Russia and other places, as well.

tedd's avatar

Did you know our economy would actually do better if its value was down?

Why do you think China keeps its money artificially so low, and the rest of the world is angry at them about it?

josie's avatar

Not in your lifetime.
There is no way that Americans can work off their debt without paying it with inflated dollars, printed capriciously by the treasury.
Soon enough, nobody will want worthless paper, and they will be trying to unload dollars, not take them as a unit of exchange.
In order to accept them, they will have to have lots and lots of them. A barrel full of them. Talk about a poor exchange rate.

Response moderated (Personal Attack)
ragingloli's avatar

I don’t mind it being down. Let’s me buy games for cheap :D

cockswain's avatar

how the hell did a personal attack happen on this thread?

trailsillustrated's avatar

yeah I just wanna know about the dam dollar

tedd's avatar

To really “rally” it has to really “fall.” Its still hovering relatively close to its historic value.

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