[Negotiator]

The value of the Euro has now fallen below the value of the US Dollar, with a strong hint it will keep dropping further in value.

It was at 1.15:1 at the start of the year.

https://www.exchangerates.org.uk/EUR-US ... -2022.html

[Wels]

Which means that the EU and Europe will be stronger in exports.
When or if this war is over some things will get back to normal anyway.

[ingliz]

Re: Euro falls below US Dollar

That is what happens when you cut your own throat and your economy bleeds out. Virtue signalling has a price sometimes

[Negotiator]

Which means that the EU and Europe will be stronger in exports.

Stronger than otherwise, yes.

Stronger than before, no.

If the value of your currency falls, the power of your economy falls.

[ckaihatsu]

Japanese yen collapse forces nation to reopen for travelers

https://www.foxbusiness.com/economy/jap ... -travelers

[Rancid]

"The Euro is strong, OMG this is terrible."
"The Euro is weak, OMG this is terrible."

"OMG oil prices are raise, this is bad."
"OMG oil prices are falling, this is bad."

[ckaihatsu]

"The Euro is strong, OMG this is terrible."
"The Euro is weak, OMG this is terrible."

"OMG oil prices are raise, this is bad."
"OMG oil prices are falling, this is bad."

'Goldilocks Zone'

https://en.wikipedia.org/wiki/Goldilocks_principle

[Rancid]

'Goldilocks Zone'

"OMG, the euro is flat, this is terrible."

[ckaihatsu]

"OMG, the euro is flat, this is terrible."

Well, maybe if you're in Forex.

[Potemkin]

"The Euro is strong, OMG this is terrible."

Bad for exporters, but good for importers.

"The Euro is weak, OMG this is terrible."

Good for exporters, but bad for importers.

"OMG oil prices are raise, this is bad."

Good for oil producers, but bad for oil consumers.

"OMG oil prices are falling, this is bad."

Bad for oil producers, but good for oil consumers.

In capitalist economics, nothing is either entirely good or entirely bad. Even in an apocalyptic Great Depression, some people would still benefit, for example by buying up stock at low prices. When a capitalist economist therefore says that some event or some policy is “bad”, your first thought should be: “bad for whom?”

[ckaihatsu]

Raising the interest rate = tightening the money supply = selling-off the Fed's balance sheet = rewarding *pre-existing* (rentier) capital / assets with interest and rent payments, without production of any new values = skimming-off value from the existing economy to buoy prices.

The wind back of quantitative easing (QE)—the pumping in by the Fed of more than $8 trillion into the financial system since the global financial crisis of 2008—is raising concerns in some quarters that the asset sales, while small in relation to the Fed’s total holdings, could have major effects.

This is because instead of being a buyer of government and mortgage debt, the Fed will be a seller, and this could have major liquidity effects if there is a selloff with the Fed no longer acting as a backstop.

https://www.wsws.org/en/articles/2022/0 ... k-s08.html

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But, *overall*, we can ask if capitalism is really any material improvement over the preceding *feudal* mode of production, at any given moment -- is *commodity production* actually taking place, because if it *isn't* then the economy may as well be backwards feudal *localism* / self-sufficiency / autarky, instead of a modern capitalist economy, since it's *not* capitalism, functionally.