Petro-Euros

[quote]Headhunter wrote:
lixy wrote:
pat36 wrote:
It’s all symantecs.

I love you!

Wouldn’t that be better in a PM there, big guy? ;D[/quote]

I guess the nerdy reference went over your head.

[quote]pat36 wrote:
lixy wrote:
pat36 wrote:
It’s all symantecs.

I love you!

Sorry, I am married…[/quote]

[quote]LIFTICVSMAXIMVS wrote:
pat36 wrote:
lixy wrote:
I’ll remind you all that Saddam ditching the Dollar for the Euro was one of the main reasons the invasion of Iraq took place.

Your reaching, agian.

Yeah but you gotta admit, we didn’t like that much because our dollar isn’t really based on anything significant. At least oil is traded in dollars. If it was switched to Euros there would be no demand for dollars at all. That would wreak havoc over finacial markets by artificially increasing money supply.

Do you think our government might go to certain lengths to protect the dollar considering we have a central planning agency that already attempts to do this?
[/quote]

This is BS. The US is the biggest producer and consumer in the world. We deal in dollars in the biggest economy. That is reason enough people around the world want them.

[quote]Zap Branigan wrote:
This is BS. The US is the biggest producer and consumer in the world. We deal in dollars in the biggest economy. That is reason enough people around the world want them.[/quote]

The dollar is only valuable because people trust it and want it to exchange for other goods. This could change and no one will be able to predict it–but it stands to reason that if we keep devaluing it it will not be wanted for anything. We are starting to see this happen already.

We are the biggest consumer only. We produce very little that we trade other than paper currency.

[quote]LIFTICVSMAXIMVS wrote:
hedo wrote:
Do you have any clue as to how the foriegn exchange markets work?

Supply and demand just like every other market.

No one can predict markets. People trade because they want stuff. Enterprises are either able to fulfill those demands and remain profitable or they don’t and are forced to liquidate so that an other enterprising opportunity might be made available for someone else–provided the business in question isn’t being protected from competition.

What certain markets decide as a medium of exchange is immaterial to the market in general…but let’s assume that the exchange is going to be carried out with something that has value.

  1. People must have a demand for the exchange medium itself–the dollar in this case.

  2. The exchange medium has to remain relatively stable in value or else people will lose trust in its desirability as an exchange medium.

What this means: It doesn’t matter what is traded; oil could be exchanged with tobacco if people had a large enough demand for it and the value remained stable; i.e., people weren’t inclined to quit smoking in large proportions.

I gather by your question you have no idea “how the foreign exchange markets work” either since you didn’t offer anything but a question.

Do you understand supply and demand?[/quote]

Excellent academic Wikpedia type answer. By your response I see that you don’t.

My old employer would have been very shocked if I didn’t know how foreign exchange markets worked. So would my employees. Suffice to say I do ,and your answer although filled with facts, doesn’t really answer say anything.

You would need to understand how quotes are established, transactions completed and trades hedged to understand the dynamics of the Forex market. If you think Iran or Iraq demanding payment in a widely convertible currency means much then you don’t understand forex markets.

The US dollar is the benchmark for a reason.

[quote]hedo wrote:
The US dollar is the benchmark for a reason.
[/quote]
No wikipedia here:

http://www.lewrockwell.com/rothbard/rothbard38.html

The dollar is paper.

[quote]hedo wrote:
You would need to understand how quotes are established, transactions completed and trades hedged to understand the dynamics of the Forex market. If you think Iran or Iraq demanding payment in a widely convertible currency means much then you don’t understand forex markets.
[/quote]
This is false. This doesn’t mean anything. No economist or “financial expert” can predict markets–and that is the only reason financial experts exist. The whys and wherefores don’t mean anything. People ask a price and it is accepted or it is not. Value is incalculable in absolute terms–otherwise no one in the financial industry would fail.

[quote]LIFTICVSMAXIMVS wrote:
Zap Branigan wrote:
This is BS. The US is the biggest producer and consumer in the world. We deal in dollars in the biggest economy. That is reason enough people around the world want them.

The dollar is only valuable because people trust it and want it to exchange for other goods. This could change and no one will be able to predict it–but it stands to reason that if we keep devaluing it it will not be wanted for anything. We are starting to see this happen already.

We are the biggest consumer only. We produce very little that we trade other than paper currency.[/quote]

We are still the biggest producer as well. That is why we use more energy than everyone else.

[quote]lixy wrote:
pat36 wrote:
lixy wrote:
pat36 wrote:
It’s all symantecs.

I love you!

Sorry, I am married…

http://en.wikipedia.org/wiki/ILOVEYOU[/quote]

“Most of the “damage” was the labor of getting rid of the virus and explaining to the recipients that the sender didn’t mean to say “I LOVE YOU”.”

lol

[quote]Zap Branigan wrote:
LIFTICVSMAXIMVS wrote:
Zap Branigan wrote:
This is BS. The US is the biggest producer and consumer in the world. We deal in dollars in the biggest economy. That is reason enough people around the world want them.

The dollar is only valuable because people trust it and want it to exchange for other goods. This could change and no one will be able to predict it–but it stands to reason that if we keep devaluing it it will not be wanted for anything. We are starting to see this happen already.

We are the biggest consumer only. We produce very little that we trade other than paper currency.

We are still the biggest producer as well. That is why we use more energy than everyone else.[/quote]

Do you mean greenhouse gases?

[quote]kaaleppi wrote:
Zap Branigan wrote:
LIFTICVSMAXIMVS wrote:
Zap Branigan wrote:
This is BS. The US is the biggest producer and consumer in the world. We deal in dollars in the biggest economy. That is reason enough people around the world want them.

The dollar is only valuable because people trust it and want it to exchange for other goods. This could change and no one will be able to predict it–but it stands to reason that if we keep devaluing it it will not be wanted for anything. We are starting to see this happen already.

We are the biggest consumer only. We produce very little that we trade other than paper currency.

We are still the biggest producer as well. That is why we use more energy than everyone else.

Do you mean greenhouse gases?[/quote]

A 280 pound man (like me) will shit more than some skinny little wench, like Sheryl Crow — the dumb bitch who wants us to use only one piece of toilet paper when we wipe our asses. Same is true for pollution.

If we DIDN’T consume all we do, a lot of the rest of the world would be unemployed. Further, since we buy so much, producers can charge less per unit, meaning everything is cheaper for poor people in the world.

Those who wail on about pollution and greenhouse gasses don’t understand what impact cutting down the USA would have. Then again, maybe they do, the evil pricks…

[quote]Zap Branigan wrote:
We are still the biggest producer as well. [/quote]

What kind of a statement is that? Biggest producer of what? Wars? Lawyers? Guns?

[quote]LIFTICVSMAXIMVS wrote:
hedo wrote:
You would need to understand how quotes are established, transactions completed and trades hedged to understand the dynamics of the Forex market. If you think Iran or Iraq demanding payment in a widely convertible currency means much then you don’t understand forex markets.

This is false. This doesn’t mean anything. No economist or “financial expert” can predict markets–and that is the only reason financial experts exist. The whys and wherefores don’t mean anything. People ask a price and it is accepted or it is not. Value is incalculable in absolute terms–otherwise no one in the financial industry would fail.
[/quote]

I wish you were trading forex back when back in the mid 90’s. If only you thought value was incalculable and were working a desk. We could of had some fun with you. A lot of people are pretty good at calculating it. Of course business people deal in the real world not absolute terms. You know this world…Earth.

The only part you got right was people asking a price and it is accepted or not.

[quote]lixy wrote:
Zap Branigan wrote:
We are still the biggest producer as well.

What kind of a statement is that? Biggest producer of what? Wars? Lawyers? Guns? [/quote]

Real things. Goods and services. Just about anything the modern world needs.

Of course you guys have the market cornered on suicide bombers so we’ll concede on that front.

Good luck with that.

[quote]lixy wrote:
Zap Branigan wrote:
We are still the biggest producer as well.

What kind of a statement is that? Biggest producer of what? Wars? Lawyers? Guns? [/quote]

Goods. Food. Cars. Airplanes. Computers.

We are near the top in most fields. When you add it all up we are the biggest economy and produe more than any other nation. That is why people will continue to use dollars.

[quote]kaaleppi wrote:
Do you mean greenhouse gases?[/quote]

I do believe we have more cows then everybody else, hence we produce more greenhouse gasses.

[quote]pat36 wrote:

I do believe we have more cows then everybody else, hence we produce more greenhouse gasses.
[/quote]

Fourth on the list, after India (400 million), then Brazil then China.

[quote]Zap Branigan wrote:
lixy wrote:
Zap Branigan wrote:
We are still the biggest producer as well.

What kind of a statement is that? Biggest producer of what? Wars? Lawyers? Guns?

Goods. Food. Cars. Airplanes. Computers.

We are near the top in most fields. When you add it all up we are the biggest economy and produe more than any other nation. That is why people will continue to use dollars.[/quote]

You are second behind the EU, which is one reason people shift into the Euro.

China has allready surpassed Germany, Japan and the US are next.

[quote]orion wrote:
Zap Branigan wrote:
lixy wrote:
Zap Branigan wrote:
We are still the biggest producer as well.

What kind of a statement is that? Biggest producer of what? Wars? Lawyers? Guns?

Goods. Food. Cars. Airplanes. Computers.

We are near the top in most fields. When you add it all up we are the biggest economy and produe more than any other nation. That is why people will continue to use dollars.

You are second behind the EU, which is one reason people shift into the Euro.

China has allready surpassed Germany, Japan and the US are next.

[/quote]

EU ism’t a country. Yet.

[quote]orion wrote:
Zap Branigan wrote:
lixy wrote:
Zap Branigan wrote:
We are still the biggest producer as well.

What kind of a statement is that? Biggest producer of what? Wars? Lawyers? Guns?

Goods. Food. Cars. Airplanes. Computers.

We are near the top in most fields. When you add it all up we are the biggest economy and produe more than any other nation. That is why people will continue to use dollars.

You are second behind the EU, which is one reason people shift into the Euro.

China has allready surpassed Germany, Japan and the US are next.

[/quote]

Who is also the largest consumer of those products and services that China and Japan produce.

Hyper Growth cannot last for any country. Present growth rates in China are not sustainable.

Currencies fluctuate. The EU is on the upswing. It will swing down in 12-18 mos. and fall against the dollar.