What is going on, US and A?

[adciv]

In the interest of conflict of interest, what sort of connection do you have with Vanguard?

[HTRN]

None, I've been looking at what else might make a good investment, and Vanguard looked pretty interesting - performs reasonably well, and is fairly stable as an investment. Right now, I have exactly ZERO dollars connected to them, but I'm looking to sink some money into them in the future..

Read what Motley fool had to say about them.

Remember, this isn't a get rich quick scheme, it's a long term investment.


HTRN

[Thorsman]

One of the big reasons why the dollar has been weakening recently is that China has stated they're no longer going to peg their currency against the dollar, instead they're planning to switch over to the Euro..


HTRN

Hang on...I thought China was insistent on the renminbi remaining at a fixed value against the currencies of all other countries.

[Deacon]

Did you hear what you just said? It's impossible, both theoretically and in reality.

[Martin Blank]

China has allowed their currency to float in a very narrow band, at which it constantly sits at one edge, waiting for the allowance to move even more. It's based on the US dollar, though if they went to the Euro, it could cause some problems for the US debt owned by China.

[Thorsman]

Did you hear what you just said? It's impossible, both theoretically and in reality.

Don't blame me, I know it's impossible. It IS, however, one of the traditional cornerstones of Chinese fiscal policy as I was made to understand it in one of my global business courses. It wouldn't be the first time that governmental policy wasn't realistic.

[Anthogna]

UPDATE:



My coworker and friend from across the river is none too pleased. He's been slowly taking a stiff paycut-by-exchange-rate for the last few months.

[Deacon]

I don't understand what you mean.


EDIT: However, this was interesting:

[Anthogna]

Actually, in follow-up, said friend and coworker mentioned the same event that was shown in Deacon's post above. He also mentioned that with the bank charges, he's been down around CAN$0.95 on the USD for a little while now.

I apologize for not being clear. I (US Citizen working in the US) have a friend and coworker who is a Canadian citizen. I've been discussing his particular plight with him - he's been effectively taking a slow paycut each week for working the same amount of time.

For example, if you're still confused:

If he makes US $1000 per week: (Oanda.com YTD high: 1.18730, low:0.99310)
So he used to make around CAN $1,187 back in the good old days (Feb/March-ish). Now he's down at CAN $993. That's a paycut I wouldn't want to take, at least. And that's before the exchange fees.

He also pays our taxes on his income (because in the long-run, it's actually cheaper for him, apparently) In his words: "I pay all the taxes, but have no say in the politics surrounding them (yet.) So, please, in the meantime, help me out!"

Hope that helps.

[Night_chrono]

This is all a invented "problem". If it turns out good or bad in the long run who knows. I know that is all going well for that wealthy 1% and will be a reason for the public to want to due this: http://www.humanevents.com/article.php?id=15017

[Anthogna]

There are some (sad) people who think they're already making Ameros.

http://www.snopes.com/politics/business/amero.asp

[Deacon]

The hell are you talking about? That site link times out, so I can't even try to make sense of it that way. Please remember to write clearly, especially using proper punctuation and phrasing, or else we can't understand your ramblings. All I got from that was wealthy people are bad and penetrating your tin-foil hat.

[Anthogna]

You're not missing much, Deacon.

Pretty much a diatribe from a conservative "news-opinion" website that really stops making sense in and around the first few words. You can't really complain about how our fiscal policy is sending us towards an economic union with Canada and Mexico when the nation's fiscal policy is run by conservatives. Just doesn't add up.