The dollar has taken a quick 2 per cent dive against the Euro, and the EU is circling the wagons

[DFW]

Last edited Thu Apr 3, 2025, 09:06 AM - Edit history (1)

A two per cent drop in a day? That is monstrous for a major world currency.

As for the general tariffs, we'll have to see just how they are applied. I may be forcibly retired after all. Like tomorrow. Not, really, of course--I could work for a couple of EU outfits that I know very well, including one or two that we own, and they can always use people with my skills. I've already been told I'd be welcome there, and I could take my pick. But seriously, after 50 years and 7 months with the same outfit, would I WANT to change jobs? Obviously not.

I'm waiting to see what Dallas has to say when they wake up this morning. That is to say, after they have finished screaming at their computer screens.

[C_U_L8R]

1. Have any of the Trumps explained...

how the hell they're gonna get the country out of the ditch they just threw us into???? WTF. Destruction is not a strategy unless you are suicidal. They have no plan. And they are on drugs. WTF WTF.

[DFW]

3. They are like child drivers who have gotten the keys to their parents' car, and put it in drive.

They are having a wonderful time speeding along, and when that cliff shows up in a mile or two, they will find out too late that they never bothered to learn where the brakes were. Too bad for us that the whole nation was in the back seat.

[Scrivener7]

2. This will topple us as a world leader. And sadly, we deserve that.

[DFW]

4. I suspect that the drop in the dollar's value against the Euro (now 3 per cent at 1.11) will mean nothing to most

To many Americans (admittedly, being from the South, I get this more than some in other parts of the country), a drop in the dollar's value against the euro will baffle them, leaving them to ponder why in the world this will have any meaning whatsoever to them.

Living in Europe, of course, everyone knows why it's important for world trade. I suppose one must keep in mind that if there is a stifling of world trade with the USA, this will be of lesser significance to those Americans who have never had contact with "the outside world." If EU products are cut off from the US market, and US products are cut off from world markets, demand for US Dollars on the foreign exchange markets will plunge, and the dollar's desirability (and thus its value) along with it.

If the interest rate for the US dollar is equal to the Euro, or falls below it and stays there, this will seem like the calm before the storm. We'll be at 1.15 before the end of next week. Since I am paid in dollars and live in euros, this would be equal to a 10% reduction in my take-home pay within 8 weeks. I have already written to 5 members of Congress (1 House, 4 Senate) that I know to not expect any huge contributions from me in the near future if I have to live with that kind of a pay cut. That is the kind of language they all understand.

[dalton99a]

5. +1

[OnDoutside]

6. On the narrow plus side, won't that mean cheaper petrol & diesel for us in Europe ?

[roamer65]

7. 1.16 on the Swiss Franc.

I bought at 1.09 ish.

[DFW]

8. I bought a bunch of euros at $1.0822 just last week

But I will owe the money in taxes to the German government before the end of the year, so I won't get to reap any benefits from that transaction except for not needing to buy more at the higher rate until next year.

The Swiss Franc is the strongest currency in the world right now, but while it makes imports cheaper, Switzerland is a highly export-oriented economy, so this won't come as good news to the average Swiss citizen or company.

[roamer65]

9. I think SNB intervention will come around 1.20

Large scale USD buying. But it won’t stop it.