Russia Dumps the U.S. Dollar for Euro as Reserve Currency

Discussion in 'Wall St. News' started by ByLoSellHi, May 22, 2009.

  1. one of the advantages dollar has over most other currencies is that it's an international currency so when they print more of it to pay back their loans, they don't have to worry about inflation as much as other countries do, because the money created is being divided among most of the world population and not just the US population

    but now we have another international currency, the euro, so the new mentality is, if there are two why can't there be three or four

    so they are basically declaring an all out financial war against the US, they stop holding money in USDs, that money will circulate back into the US and other countries holding USDs, which is inflationary and undermines the value of the USD
  2. I was in Turkey last week for vacation, people seemed to adopt Euro more than USD. Almost everything was priced in Euro.

    Many other countries are in the same direction
  3. Isn't that a shocker, since 99% of tourists visiting Turkey are from Europe??? :cool:
  4. greddy


    I don't see any mention of this on Fox or CNBC yet.

    This should all over the news.
  5. The headline is misleading and suggests that Russia doesn't use any Us dollars as a reserve currency, when in fact they just reduced it by 6% compared to their euro holdings.
    Looks like smart money management to me and nothing else.
  6. is Dolla dead?
  7. Turkey is an insignificant cheap a__ country. The GDP per capita for Turkey is less than 13K, so why are we even talking about this country
  8. By no means based on what I c. When optimism is reflected in the dow, most other currencies rotate towards the dollar. The only one not doing this is EUR/USD.

    This makes no sense to me, unless the underlying current is that the Eurozone will come out of the slump in better shape than the US.

    I haven't gone so far as to c if this correlation held up before we turned on the presses, but it would interesting to hear from someone who understands the international forces at play better than I do.

    I just trade what I c, but still it would be interesting to know.:)
    #10     May 22, 2009