US fed manipulating US dollar

Discussion in 'Wall St. News' started by businessstaxes, Sep 24, 2010.

  1. businessstaxes

    businessstaxes Guest

    I find it funny that the US gov't would accuse other countries of manipulating currencies.

    the fact is that currencies are by nature fix...currencies were not free floating until 1973. many currencies because they don't trade don't even trade...only a 10 currencies are freely tradded cause they aer illiquid forex rates. as the case forex are too volatile for internationl export and import. the people who benefit from this trading of forex is mostly banks and speculators...wide flucturations in forex is disastrous to import and export countries...

    the reason the US wants a lower dollar is to increase profits of US exports..economies GDP don't change overnight nor will forex rates.
    you see it's pure corporate greed. not economic efficiency or economic sense.

    the fact that forex rates can be manipulated is a fact. banks make tonnes of or billions of money shuffling paper. forex profits are huge money makers for hedge funds and banks. now if the rates were to be fix...there would be no trading forex profits.