Cdn Dollar Overvalued?

**Cattleman** · Feb 7, 2012, 14:39

I am sort of thinking the same thing. I thought our dollar would be safely below par for a while due to the problems in Europe. It almost feels like Europe is becoming old news, and people are willing to take a little more risk - just because. Hence Euro is up a bit, and US dollar index down. To me Europe still a mess - look at Greece, and Portugal is on a slimilar slope. These plays in the market are frustrating at times, but these markets are the market.

I think that shorter term we are in for some deflationary pressure, longer term could be another story.

**cottonpicken** · Feb 7, 2012, 16:27

A small short term pull back maybe,medium term
rally to1.10 possible,long term up.

**Hopperbin** · Feb 7, 2012, 16:40

Oil up 2 dollars
gold up 23
Silver up 57
And my advisor said to buy american dollars when we were at 98 cents.

**monte** · Feb 7, 2012, 19:12

Who the hell knows what any currency is worth these days. Canada does not need it to go much higher to make it worth alot less than the USD.

**Hopperbin** · Feb 7, 2012, 19:21

Just wondering how exactly does the US gov't try to cool the USA dollar? In most of our Canadian Liberal past we were buying our Canadian dollars to prop up our dollar to slow our economy.
From Sask. was not really sure why we needed to slow the economy down at the time.

**errolanderson** · Feb 7, 2012, 19:49

There are again rumblings about more
U.S. Fed money printing (QE3) by
Bernanke. These rumblings actually
supported the Dow today. Flooding the
market with more U.S. dollars would
pressure the U.S. dollar at least for a
while.

Personally, feel this is not good long-
term policy for the U.S. as it could
create short-term gain with long-term
pain. Think Bernanke understands these
risks, but politics are likely talking.

U.S. is in a worsening and massive
financial mess despite recent employment
gains. Market bumps ahead seen . . . .

Errol

**rhoff** · Feb 7, 2012, 20:15

I think more risk appetite among investors globally means money leaving U.S gov't debt and moving into riskier assets-which will likely mean Our dollar goes up.I think QE3 is off the table because of last weeks jobs report.

**errolanderson** · Feb 7, 2012, 22:24

Last Friday's U.S. employment report
showing another drop in unemployment was
exceptionally squeaky clean. It is, what
it is. But the U.S. appears to be
forgetting to count an awful lot of
Americans that have given up looking for
work.

Unemployment is far higher than what the
U.S. government reports.

Errol

**cottonpicken** · Feb 8, 2012, 08:17

I think its qe forever.

If you want a zero interest rate policy,who is going to
buy those bonds?

Who is going to fund the never ending deficits of the
federal government?

Cdn Dollar Overvalued?