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Realistbear

Big Euro And Sterling Sell-Off Underway

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http://www.xe.com/

Pound below 1.60 and Euro below 1.40 to the US$

Is the flight to US safety underway? If it is there will be seismic shifts in hitherto safe havens. Thats a big if though.

I think that for a while the US $ will risa against the Euro and the £. Fundamentally there is a large debt problem in the states, but thay have HAD theri property crash and many other asset crashes too. Their individual states are already bankrupt in many cases. They have reached a possible bottom or near it compared to Europe. Their economy is also far more flexible and unforgiving in payiong benefits than Europe, so I expect them to pull out of the forthcoming almighty mess faster, leaner and fitter than Euroland.

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Their economy is also far more flexible and unforgiving in payiong benefits than Europe, so I expect them to pull out of the forthcoming almighty mess faster, leaner and fitter than Euroland.

+1

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Is the flight to US safety underway?

No, merely the SNB moving its offsetting trade out of EURUSD and into USDJPY as the world turns (and the liquidity moves with it).

Sheesh, how can you look at currencies on today of all days and miss the story?

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For many investors, the search for safety has whittled down to four options in recent months: the Swiss franc, the dollar, U.S. Treasury bonds and gold.

"Right now some of the luster is wearing off the Swiss [franc], I don't think the dollar is going to stay up here so you're left with bonds and gold," Mr. Nedoss said.

The broad drivers behind gold's record-breaking rally are still intact, as talk of further monetary easing by the Federal Reserve and Europe's woes with sovereign debt keep investors hungry for a store of value, said Bart Melek, head of commodity strategy at TD Securities.

"Gold rallies if the fundamentals are there, in spite of what the Swiss might be attempting to do domestically," Mr. Melek said.

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http://www.xe.com/

Pound below 1.60 and Euro below 1.40 to the US$

Is the flight to US safety underway? If it is there will be seismic shifts in hitherto safe havens. Thats a big if though.

The Euro traded at less than a dollar to the euro when it was launched. For many years , it traded around $1.10 to the euro.

A fall back from $1.40 would be welcome in Europe, as it would help the exporters.

No flight to safety, imo. A rebalancing after years of an artificially high $ (vs the euro), which saved the US exporters in a crisis......

Edited by Agentimmo

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No, merely the SNB moving its offsetting trade out of EURUSD and into USDJPY as the world turns (and the liquidity moves with it).

Sheesh, how can you look at currencies on today of all days and miss the story?

Can you explain the story please?

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  • 334 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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