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Peso appreciation

Just in case that you’re living under a rock or something, the U.S. economy is in a slump. And it seems the world is fascinated by the Euro and Renminbi (China) by and its strength. The Renminbi is pegged to the dollar and its currently undervalued. It seems to be that the dollar is no longer the preference as the world’s reserve currency. It’s the Euro, Clifford Bennett of Sonray Capital (Bloomberg Video).

Even though some may like the Euro, some also like the Renminbi or the Yuan. For example you can hear Jim Rogers of chairman of Beeland Interests Inc. talks about China (Windows Media Audio) and how he has a baby girl who is American Citizen, but does not have an American bank account and how he has hired a Chinese nanny so her daughter could learn Chinese for her own future benefit. He also has started to shift his assets out of the Dollar and into the Yuan (or video).

It’s interesting to see that the Canadian dollar is now strong, if not stronger (47 year high) than the U.S. dollar right now.

Ben Bernanke (U.S. Chairman of the Federal Reserve) will more likely devalue the dollar by printing more money out of the Federal Reserve.

The Philippine Peso
Even the Philippine Peso is getting stronger against the dollar. Citigroup even sees that the Peso would hover around the P42.50 against the dollar by the years end.

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Popularity: 29% [?]

Comments (1) Posted on Tuesday, October 30th, 2007

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