Is it true the dollar WILL COLLAPSE?
149789
Yep, and people will still risk crossing a desert to get a job.
316061
The US dollar is backed by the US Government, (not great but it works). The US government, thankfully, is back by its taxing power over the American people (which is VERY good). I don't think you'll have much to worry about. But I won't keep cash laying around not collect interest or working for you. Inflation is what will really eat away your money.
664685
a) Demand for dollars declines, reducing its value.\n\nb) Payments in China are in US currency, but if prices are lower, demand for dollar will decline as will its value.\n\nc) Assuming no decline in imports, demand for dollars increases, increasing its value.\n\nd) Increased supply likely, so value goes down.\n\ne) Relative demand for foreign currency increased, thus moving value of dollar down.\n\nMake sure you vote!\n\nc
407344
they'll stay the same for the next ten months atleast probably after the next rate hike early summer.  the dollar's overvalued and the chinese aren't going to float the yuan freely for the foreseeable future, which would mean the trade deficit will catch up somehow.
896569
Dollar is supposed to drop a bit.  It has been dropping over the last few months.  The pound is solid.
541102
If our currency were to fall. Every other country in the world would collapse too. I truly think bartering with items would replace it.
76283
Hi there.\n\nRead this article i wrote..hope it will help.\nhttp://www.amazines.com/article_detail.cfm?articleid=76237&Title=forex%2Cbroker%2Ccurrency%2Ctrading\n\nGood luck
300377
The US will either renounce the WTO/GATT agreements and return to bilateral/protectionist trade policies, or the dollar will collapse.
234899
Simple economics. USD is becoming weaker because of inflation, the US government printing a lot of money, huge government debt, and about a million other reasons.
563064
real estate goes in a 10 yr cycle, so I believe we should expect to see a steady climb in interest rates, especially with the weak dollar. \n\nRegards...
785499
In the UK it has been discussed that this may indeed happen. However, I expect prices to drop, perhaps dramatically in some areas, while other areas will experience slight depreciation. \n\nIn the USA I expect to see prices drop further in many markets. Currently, there is a lot of talk that prices have "evened" out. However, IMO this is a physolocial band aid with the hope to "hold" things together so many over invested people will not go bankrupt.\n\nForeclosures continue to increase. People bought due to the fear of loosing their dream of home ownership. Many of these good folks over financed themselves and the evil interest rate is knocking at their doors.\n\nOther people bought simply out of the desire to make their "millions" in real estate and got out. Many did make millions - yeah for them. Others have got caught holding the bag. It was due to happen sometime. \n\nSome markets, like the Pacific Northwest will most likely not experience as drastic price drop as other areas, due to the continued flow of people flocking to live here. For my sake, I hope prices do drop dramatically - so I can more house!
603065
1976 was the last time the Canadian dollar was at par  with the U.S. Dollar. In the fall of 2007 It is possible that this will happen again.
298640
All currency is backed by gold or silver, if you produce more currency then you have gold to back it up with, you can collapse an economy by lowering the value of their currency to the point where they are bankrupt.Suppose you have 20 pounds of gold and you issue enough currency to cover what the gold is worth, now someone comes along and makes more currency to distribute, if everyone were to cash in ( which isn't physically possible, but in theory it can happen) you would have no way of giving everyone the gold for their currency. Now multiply this by 1000's and 1000's and you'll see how it can cripple a countrys economy.
97544
The dollar is not directly linked to the stock market. It is a strong currency in that many developing countries, including China, stockpile dollars to give them some "hard currency" strength. The danger is really the longer-term decline of the dollar versus other "hard currencies" such as the euro and yen. The dollar is also strengthened by its ties to various commodities, such as oil, which is denominated in dollars. If Russia and the Middle East countries begin selling oil to Europe or China for euros or gold dinars in a big way, then the dollar would lose more of that stability. Inflation and investors' currency speculation are additional variables. But it is unlikely that the dollar would crash overnight, because those that you might think would benefit from this (such as China) would actually lose billions and billions overnight if all their dollar holdings lost huge value. Longterm erosion in the dollar value is much more likely.
795151
Here's just a small part of why the dollar is weak and none of that's good. It is correct that it will make the trade deficit LOOK better than it is. The stock market has very little to do with the economy-it has to do with buying and selling. For the most part, the stock market today loves the inflation numbers which say inflation is low overall, but largely because it includes prices of vehicles, clothes and luxury items most of us can't buy. Food and housing costs are way up-and that's what most people need first. Corporate earnings are falsely inflated by cost cutting not by true growth. Our ever-increasing deficit-yes, our Treasuries-our US debt is 51% foreign owned. China is our largest foreign debtor. Most pundits as well as the administration don't want to tell us the bad news because US optimism-the will to shop-and the US consumer's desire to ignore problems-leads to "growth" and "profits". Sure, War is Peace and Debt is Wealth.\n\nLONDON (AFP) - The dollar sank to a 20-month low against the euro and a 14-year low against the pound as investors seized on weak manufacturing data in the US to drive the currency lower, dealers said. \n\nThe Chicago PMI index of business activity fell to 49.9 in November from 53.5 in October, well below analysts' expectations for a pick-up to 54.5, data showed.\n\nAnalysts said the data could portend a fall in the closely watched ISM manufacturing index which is to be published on Friday.\n\nCalyon currency analyst Mitul Kotecha played down talk of a recession in the US, which has been driving heavy selling of the dollar in recent days.\n\nThe euro has gained 3.7 percent agaist the dollar since November 21, taking it from 1.28 dollars to its present level of 1.32.\n\n"It's maybe too early to talk about a recession," said Kotecha.\n"Clearly the risk of a recession has increased in recent months.\n\nBank of New York currency analyst Michael Woolfolk said the Chicago PMI, combined with other income and spending data, "were the one-two punch that knocked the dollar back on the ropes, leaving little doubt over the near-term direction in the beleaguered greenback".\n\nLONDON (AFX) - The dollar stayed weak, hovering around the 1.32 mark against the euro and staying at 14-year lows against the pound following disappointing US weekly jobless claims numbers. \nUS jobless claims surged by 34,000 to 357,000 in the week just gone, well below analysts' forecasts for a fall in claims to 314,000, although the figures are likely to have been distorted by the Thanksgiving holiday. \nThe news broadly offset a stronger-than-expected core PCE deflator, the measure of inflation favoured by the Federal Reserve. \n"A larger than expected rise in jobless claims, even though the Labor Department says the Thanksgiving holiday skewed the data, is being emphasized by the market more than the unexpectedly firm core PCE deflator," said Jamie Coleman at Thomson IFR Markets. \nThe PCE measure showed that core inflation rose by 2.4 pct on an annual basis, above expectations for a more moderate 2.3 pct.
365876
Yes, though not any one other currency in particular.  Currency prices are the exchange rate for that currency compared to another.  Typically, though, when a currency gets stronger, it becomes more expensive compared to all other currencies.  The Dollar Index is based on a basket of currencies, so if one of those currencies in the basket rises, typically, all the others will follow in the same direction.  It is possible that some event will cause one currency to rise (Let's say if British Unemployment were lower than expected), and another to fall (Let's say riots in Europe), that the Dollar will remain unchanged, although the Euro will be cheaper, but the British Pound will be more expensive.  There are many reasons why the currencies fluctuate, but in the end it is basically an indicator of the the strength of one currency against another.
47628
There is no "why" to it. Each unit of currency exists independent of the others; some will have a higher value than the dollar, others will have lower value. Some may even start out higher and be lower later due to inflation.