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Way OT: Do you think oil will be traded in Euros instead of Dollars soon?


Taustin Powers

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It could.

When you do any kind of research on "tax theory", you get stuff from every nutjob alive as so many just throw the "protester" stuff in there for good measure when a lot don't have a clue, but all that being said I've been "hearing" for months that they're just gonna let the dollar die, and then create a new currency exchangable in Canada, US and Mexico.

Now, I don't see that happening for a while, if ever as it's quite a stretch, but I def could see something as important as oil moving from the dollar to something else, if not even the Euro if it continues to decline in the coming years.

 

 

But wait... we're gonna run out of oil in 5-10 years, so what does it matter?! ;)

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Actually the Euro is on a slight decline against the dollar, down to about $1.46 or so last I saw. If you take into account that the US is the world's largest economy, there really can't be a switch anyway for quite a while.

 

 

That's only today, and it came down from 1.48.

 

If you look at the big picture, it was around 1.20ish only two years ago, and pretty much has been going up steadily since then.

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That's only today, and it came down from 1.48.


If you look at the big picture, it was around 1.20ish only two years ago, and pretty much has been going up steadily since then.

 

It's been closer to $1.50 for a bit and I remember not too long ago when the dollar was stronger than the Euro. Both Europe and the US have had pretty bad Januaries but I wouldn't be a bit surprised to see the dollar continue to strengthen against the Euro.

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Some American's that come over here think the Euro is actually called the Euro Dollar....
:rolleyes:

 

Well, you can't blame them for that since most of us Americans have very little knowledge of other cultures/languages/customs. When I consider the people I interact with on a daily basis, none of these American tourist horror stories surprise me in the least.

 

There's been a lot of talk about other currencies now that the dollar has been going down for awhile. I don't know enough about international economics to make any judgments, but I hear the talk and read it on the interwebs all the time. We're to blame for our weakening currency, especially since we're expanding the money supply and increasing credit in an effort to stave off the effects of the recently burst housing bubble. If we were smart, we would let the market correct itself. It would be tough for awhile, but it will be worse in the long run if we try to weasel out of it (like by having the taxpayer bail out those in foreclosure).

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Well, weak dollar means US goods are cheaper here :D

 

But yeah I guess OPEC and the other the oil-producing countries probably are tired of the dollar constantly falling and them having to constantly 'raise' prices to actually be earning the same.

 

What difference would oil being traded in euros make anyway?

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It's been closer to $1.50 for a bit and I remember not too long ago when the dollar was stronger than the Euro..

 

 

"Not long ago" being 2002...

 

The Euro has been worth less than the US dollar for only about 2.5 years total (all between 2000-2002) and has been worth more for 80+% of its nine year existence.

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Well, weak dollar means US goods are cheaper here
:D

But yeah I guess OPEC and the other the oil-producing countries probably are tired of the dollar constantly falling and them having to constantly 'raise' prices to actually be earning the same.

Oil's down below $90. :thu:

What difference would oil being traded in euros make anyway?

Imagine that you were a salesguy who was pushing the most popular product around. Now, imagine that a huge client just dropped your product in favor of another. What would that do to your company? Far from a perfect analogy but you get the idea.

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