Some Investors See Single Currency Falling to Parity With U.S. Dollar
A day after the European Central Bank unveiled its bond-buying program, the single currency still was in free fall, blowing past analysts’ expectations for how low the euro can go.
Some investors now say the euro could fall to the point where it is on equal footing with the U.S. dollar for the first time since it climbed above the buck in late 2002.
“If you would have asked me a few months ago, I would’ve said that parity could be in the cards in the years ahead. Now, we can’t rule it out anymore even by the end of this year,” said Thomas Kressin, head of European foreign exchange at Pacific Investment Management Co., or Pimco, which has $1.68 trillion under management. Continue reading
Xinhua says ‘new world order should be put in place’ where all nations can have interests respected on equal footing
While US politicians grapple with how to reopen their shuttered government and avoid a potentially disastrous default on their debt, the world should consider ‘de-Americanising’, a commentary on China’s official news agency said on Sunday.
“As US politicians of both political parties (fail to find a) viable deal to bring normality to the body politic they brag about, it is perhaps a good time for the befuddled world to start considering building a de-Americanised world,” the commentary on state news agency Xinhua said. Continue reading