Any idea why usd stronger towards end of 2008?

Discussion in 'Forex Trading' started by gaiusparx, Jan 29, 2009.

  1. gaiusparx

    gaiusparx

    Juts curious why towards end of 2008, after Lehman Brothers failure, usd was growing stronger? Thanks
     
  2. It may have been due to the world's realization that other countries were worse off economically than previously expected, although the timing of that I'm unclear on.
     
  3. Bob111

    Bob111

  4. It's either manipulation or a continued scramble for dollars of world-wide funds from redemption pressures. Nonetheless, don't worry about WHY it happened, just trade w/ the trend.

    I can think of 1000 reasons why the bond market should have imploded by now but it hasn't. We've been in a bull market in bonds for >20yrs.

    Once we figure out why something has happened it reverses.

    The market is why.
     
  5. ssss

    ssss

    01-29-09 04:12 PM

    Juts curious why towards end of 2008, after Lehman Brothers failure, usd was growing stronger? Thanks
    #########################################

    .... Expected recession in all countries .
    and folloving more heavy role of the State
    against privat sector .



    Sell all what posssible - stocks,futures ,close debt and going for most "secure asset " USD

    This is not true secure . Most secure is gold
    But operation with gold mutiple restricted
    from all countries through tax ...

    Heavy influence of propaganda of M.Friedman
    and follover's against gold standart

    In case of protracted intense war ,which would related to USA interess ,this propaganda would crashed ....


    Your repsectfully
     
  6. tradersboredom

    tradersboredom Guest

    nothing is safe in intense war like world war 2

    wealth was destroyed in world war 2 literally destroyed.



     
  7. ssss

    ssss

    tradersboredom


    nothing is safe in intense war like world war 2

    wealth was destroyed in world war 2 literally destroyed
    ######################################

    You are false .You can read strategic bombing survey -
    How was financed second worls war ...

    What of measurements was sued in different countries

    Gold ,agriculture price would go up .

    State can and would used differed restriction as example

    Possesion of the gold 10 years penalty &
    Participation in black market -dead penalty &

    In Leningrad through blockade dead
    more as one millions people
    ( Wheat 125-600 gramm per day)

    Black market used gold ,agriculture

    This who was catched as speculator in black market in some case received dead penalty
    on place through military law

    Author support point of view ,that in case of war
    gold (in particulary in small coins ) would play
    important role as secure asset
    Agriculture and some pharma would play
    important role

    But each state would use heavy restrictions
    until dead penalty for possesion and speculations
    with gold

    You respectfully
     
  8. The U.S consumer is getting weaker and U.S consumption is big..therefore exports from other countries are declining affecting their respective currencies..repatriation then follows to the traditional safe haven currencies of recent history..the GREENBACK...et voila ! C'est la guerre.
     
  9. fxguy1234

    fxguy1234

    One word - RISK AVERSION.

    As global markets are in decline, investor (US and otherwise) are selling risky assets denominated in other currencies and buying back dollars (treasuries) sending these funding currencies (USD and JPY) higher. This coupled with deleveraging flows are the main reasons the dollar has rallied in '08.
     
  10. a competing theory is that dollar denominated debts are becoming harder to roll over, so foreigners are having to buy dollars to settle them.
     
    #10     Feb 3, 2009