Baht Against The Dollar?

[Abrak]

Why was the dollar gaining during the financial crisis of 2007 and 2008. Everyone was buying dollars Why? because they have faith and confidence in the USA.

Really? Was that how it worked? Once upon a time there was something called faith in God - it wasnt worth much, it wasnt offering a great deal but you could sell it and buy something different - a watch, a ticket to a film, some baht assets, some gold or some high yielding junk bonds. And then along came the apocalypse and suddenly you realized that you were very short of faith and everyone was very short of faith in you.

Now obviously you cant buy faith but there are times when being short of it can be very costly.

[craigt3365]

OK USD is not the strongest currency in the world right now but how does it keep loosing ground against the baht with all the issues Thailand has faced during the last few months/year???

How does this Baht keep this up????

is this destined to fall?

So is USD to go back up compared to the baht?

Nope. The US empire is in the beginning stages of collapse. Happens to all empires eventually. If it didn't we'd be using hieroglyphics for this forum. The Brits didn't like it in the 18th century when it happened to them either.

The Baht is not really "keeping up" as you say. It is depreciating against other Asian currencies. The USD is simply rapidly moving towards its inherent value of zero.

Eventually, faith in the USD will fail completely and we will see hyperinflation. You will most likely be long dead before an American currency (won't be the USD anymore) recovers. It should be fairly obvious to you already that if investors prefer the Thai Baht with all the political problems going on over here, then the US must be in serious trouble.

The market is acting completely rationally. It is only your belief that the US economy is sound which is irrational.

Here is a contrary view. I think the guy is spot on. The future for the US looks pretty good. Sucks now, but so do most economies!

http://www.nytimes.com/2010/04/06/opinion/06brooks.html?emc=eta1

[wolf5370]

Funny really a month or so ago all the doom-sayers were saying the pound would never get get past 47 again - it would continue to fall and would bt 30 odd by the end of the year - yet here it is over the 50 mark again. I dare say that the dollar will pick up too once the establishment start making some real moves to cut debt.

As to the fall of the British Empire if you really believe it started to fall in the 18th centuary, your view of history must be read through the bottom of a glass - the Empire was greatest during Victorian times and beyond - fighting a world war practically on its own - twice - put pay to the Empire and the simple fact that modern economics, trade, technology made the economic point of Empires somewhat mute.

I don't think USA will fall, I think China has too much of a vested interest in it. I can see that perhaps the EU will either fail or have to make some hard decision - they are carrying too much dead weight for the current times. I also think the USA will come out with a bloody nose and the predilections of a hegemonic nation somewhat neutured.

[ExpatJ]

Bad news is that The Economist magazine thinks the Baht is currently UNDER valued!

[thaidan6]

OK USD is not the strongest currency in the world right now but how does it keep loosing ground against the baht with all the issues Thailand has faced during the last few months/year???

How does this Baht keep this up????

is this destined to fall?

So is USD to go back up compared to the baht?

Nope. The US empire is in the beginning stages of collapse. Happens to all empires eventually. If it didn't we'd be using hieroglyphics for this forum. The Brits didn't like it in the 18th century when it happened to them either.

The Baht is not really "keeping up" as you say. It is depreciating against other Asian currencies. The USD is simply rapidly moving towards its inherent value of zero.

Eventually, faith in the USD will fail completely and we will see hyperinflation. You will most likely be long dead before an American currency (won't be the USD anymore) recovers. It should be fairly obvious to you already that if investors prefer the Thai Baht with all the political problems going on over here, then the US must be in serious trouble.

The market is acting completely rationally. It is only your belief that the US economy is sound which is irrational.

The next currency to replace the USD is the YUAN.

[thaidan6]

why some blame Obama - he only try to clean all the shit up what Busch has done in his 8 year - first his dad made debt and son made a lot more - and Busch was got help from this old greenspan

[flying]

why some blame Obama - he only try to clean all the shit up what Busch has done in his 8 year - first his dad made debt and son made a lot more - and Busch was got help from this old greenspan

Why blame either? Presidents are just the ventriloquists dolls

We only have them to make the people feel like they have a say in things by elections etc.....Not that elections are what they are claimed to be ( one man one vote VS electoral college etc. )

Edited August 9, 2010 by flying

[Jingthing]

Bad news is that The Economist magazine thinks the Baht is currently UNDER valued!

And they are right.