Dollar Falls vs. Euro
Feb 9th, 2009 | By Doug Casey | Category: Financial NewsIn the currency market, the dollar sank against the euro. Late Friday, the euro was trading at $1.2932 vs. $1.2861 on Thursday.
Yesterday came the grim jobs figures everyone was expecting. The Labor Department reported that non-farm payrolls fell by a seasonally adjusted 598,000 in January after a revised loss of 577,000 in December. That marked the largest payroll loss since December 1974.
At the same time, the unemployment rate soared to 7.6%, compared with 7.2% in December. That was even worse than already-pessimistic economists’ expectations for a rise to 7.5%, and is the highest unemployment rate since September 1992.
“These numbers are dreadful but does it matter?” asked Alan Ruskin of RBS Greenwich Capital. “No,” he wrote. “All the prior labor market indicators, notably the claims data, gave a feeling of foreboding before these numbers. The data broadly delivered.”
And Kathy Lien, director of currency research at GFT, pointed out “that traders believe the bad number will probably push the Obama administration to act quickly on passing the stimulus plan.”
Lien added that, “Despite the staggering job losses, the markets are not terribly focused on the non-farm payrolls numbers today … Traders are hopeful about developments in Washington including a possible Senate vote today and a bank rescue package on Monday.”
The Obama administration promises on Monday to release a “comprehensive plan” to revitalize the financial markets. The plan is expected to include a new strategy to deal with banks’ bad assets and a new program to help troubled homeowners avoid foreclosure.
Advertisement
Simply by "Repatriating" the World's Hottest Currencies!
Peter Schiff – outspoken analyst and president of Euro Pacific Capital – has found a wildly profitable "loophole" in the global currency markets. It allows you to easily "repatriate" the hottest foreign currencies into your personal bank account… automatically. When the transactions hit, you can make money. It's that simple.
For details on how you can use Schiff's technique to turn $8,000 into $80,000 every year, like clockwork, please CLICK HERE now.
Doug Casey is a contrarian investor, sought-after public speaker and author of several books. His work "Crisis Investing" held the position of # 1 bestseller on the New York Times list for 26 consecutive weeks. Doug's unusual views on the economy - and just about everything else - have gained a huge following in the investment community, and it certainly helps that his stock recommendations of undervalued junior exploration companies have made his subscribers millions. Now in its 27th year, Doug's monthly newsletter, the International Speculator, is one of the most established and esteemed publications on gold, silver and other natural resource investments. Together with the Casey Energy Speculator, it covers a broad range of carefully selected stocks with the very real potential of double- and triple-digit returns within 12 to 24 months.