Will the USD fall...

C

Coffee

Guest
...or gain on foreign exchange markets after the Federal Reserve meeting later in this week ? shrug1

(I don't foresee the Fed lowering the rate.)

What do you think will happen in the following three scenarios ?
(1) the Federal Reserve keeps current interest rate in place
(2) increases the interest rate .25%
(3) increases the interest rate .50%
 
It is a good question Coffee, I believe that with the current weakness in China, they will probably leave rates on hold but talk it up for the near future to test the waters, this will do nothing though because a rate rise has been factored in already. If they do lift rates from zero to 0.25% you can expect a surge in the USD for a couple days until they find out it changes nothing and will settle back to where it was.
Those like yourself Coffee better pounce on the surge, as I believe the Thai reserve will not pursue this surge this time. They can't afford it.
 
Federal Reserve leaves...

...interest rates (gulp) "unchanged".

The message the Fed sends to the world is that the economy is (er, ah , ummm) sloooow-leeee rebounding but remains sluggish.
"We see some bright spots" ...better get Ms Yellen to the opthalmologist.

Greece, Brazil , Venezuela, Puerto Rico are just a glimpse but China was an unexpected jolt well in advance of this meeting.

Maybe things will look better at the next love fest in December.

Keep in mind that the rate was 5.5% in 2007 prior to the "recession of 2008" before dropping the rate to almost nil in 2009. That same 2009 rate remains in place today.

Is your money accruing less than 1% in a savings account really going to assist you with your future plans (after taxes Crazy1 ) ?

The USD won't get splattered again by this non-event as just about every other country is sputtering...and without counting the US among their direct trade partners many export markets would lose a big spender.

So tell me once more what is ahead.
Tell me if the Highway to Hell is properly paved...and who pays.
 
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Where you a wake in the wee hours with your finger hovering over the Forex transfer button Coffee just to be bitterly disappointed. Yellen needs a rocket up her arse for creating market volatility on total uncertainty. She should stop crying wolf!
 
Rice said:
Where you a wake in the wee hours with your finger hovering over the Forex transfer button Coffee just to be bitterly disappointed. Yellen needs a rocket up her arse for creating market volatility on total uncertainty. She should stop crying wolf!
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LOL , Rice. Thanks as I was sleeping soundly. Dream1

Three weeks ago I received 35.46 (and posted to that effect).

25 - 35 satang isn't going to make much of a difference to me keeping in mind that the USD was exchanging under 30 just two years ago.

So if it pushes above 36 I'll jump back in...(and even possibly again by year's end if there's a downward move towards 35).

Conversely watching the AUD slump from 32 just two years ago to where it is today
I would indeed lose some sleep (without sheep).
 
I'm getting ready to make my way to the bank this morn to cash in some USD chips into THB.

The AUD and NZD certainly are less than stellar today....sorry.
 
SCB "T.T. rate" - 36.07 at 10:20 this morning.

Not as high as when chips were exchanged in October but anything over 36 on the latest uptick move is fine by me. If the pundits/ oracles are correct on 37 later this year I'll be on my way to the bank again. ;)
 
I am afraid that the AUD is going to track the Yuan down to where ever it goes, and it is sinking like a stone with the current moves on the Chinese stock market.
 
Rice said:
I am afraid that the AUD is going to track the Yuan down to where ever it goes, and it is sinking like a stone with the current moves on the Chinese stock market.
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But,how competitive Chinese manufacturing is going to become. This is also noticed in Australian exports. Look what happened to Germany whilst the Euro was on the slide. USA will feel the forces of a high currency before long, I believe.
There are squillions of Chinese buyers/consumers not able to buy imported goods and services in the near term and the mindset they have now of buying imports will evaporate.
There's almost the same numbers of wealthy Chinese and educated people as the USA can count.

I think Yelland has misread the script.
 
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Just this past week the USD has slipped against the Euro along with the THB ! :confused:

Is the USD going to hit 35 before it hits 37 ? :mask:
 
Do you think it could drop to parity with the Aussie dollar again? That would be helpful (for some of us).
 
AussieBill said:
Do you think it could drop to parity with the Aussie dollar again? That would be helpful (for some of us).
Click to expand...
I don't think that is going to happen anytime soon AB. It is 4% interest rates that is keeping the AUD at it's current level and nothing else.
 
AussieBill said:
Do you think it could drop to parity with the Aussie dollar again? That would be helpful (for some of us).
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Why, Bill?
If the USD dropped in line with the AUD you would still only get 25 bhat to the dollar,
though many more Americans in Thailand would be sharing your pain.
 
Coffee said:
Why, Bill?
If the USD dropped in line with the AUD you would still only get 25 bhat to the dollar,
though many more Americans in Thailand would be sharing your pain.
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They would, I agree..at $8 an hour earnt in the States as compared to the $25-30 in Aust. It would hurt. Horses for courses.
 
Also, the Thai baht tends to hang on the US Dollar to some degree. I was thinking a fall in the US Dollar could drag the baht down a bit.
 
AussieBill said:
Also, the Thai baht tends to hang on the US Dollar to some degree. I was thinking a fall in the US Dollar could drag the baht down a bit.
Click to expand...

Not when the genius's at the bank of Thailand are using up reserves like there is no tomorrow to stabilise the baht. How long they can do this for remains a mystery. To them as well.
 
Nice to see the Aussie dollar fighting back, with better than expected news re the economy. (Or maybe because Feret has stopped throwing money around and gone back to civilization).
 
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