Keep some of that good luck for yourself Klein. A devalued dollar just means that it becomes more expensive for the u.s to buy goods from other countries and it becomes cheaper for those countries to buy goods from us. Our exports go up, and our imports go down. As one of the biggest if not biggest trading partners of the U.S. , how do you think that would affect Canada?
From todays Nasdaq website:
11/11/2009 10:30:00 AM ET DJ30 PointChange: +85.32 Level: 10332.29 NASDAQ PointChange: +24.46 Level: 2175.54 SP500 PointChange: +11.06 Level: 1104.07 NASDAQ-Adv:1893 Dec: 533 NYSE-Adv:2227 Dec: 597
[BRIEFING.COM] With the dollar down to 52-week lows against a basket of major foreign currencies, commodities have been trading markedly higher all morning. Their gains have the CRB Commodity Index up 0.9%.
Gold has been a strong underpinning of the CRB's move. The yellow metal hit record highs above $1118 per ounce earlier this morning; it is currently up 1.3% to $1117 per ounce.
Silver is also trading higher. The precious metal was last quoted at $17.69 per ounce, up 2.7%.
Oil prices have also been faring well this morning. Crude prices were recently quoted 0.9% higher at $79.80 per barrel.
Natural gas prices have followed suit. Contracts are being priced 1.5% higher at $4.54 each.
As to your question.
We are your biggest trading partner.
It will effect the manufacturing sector, (mostly in eastern Canada), very much. Since our manufactured goods will become expensive for the US to purchase and probably uncompetitive.
Alberta, where I live however, will prosper, and have billion dollar surpluses, once again.
Due to the huge natural resources we have, esspecially oil and gas.
Goods entering into Canada, (which is a lot), will ofcourse become much cheaper for us.
From groceries, to clothing, even the Harley Davidson.
Which may lead to almost a deflation, if it wasn't for higher gas prices here.
It has it's good and bad sides. For manufacturing job creation or security, it's bad.
But, then again. Most of the robotics, and hightech manufacturing equipment does come from America, and it would be a good, cheap, time for our factories to modenize and automize, to be much more effecient.
For some industries that reley on US made equiptment (such as the trucking industry) they welcome a lower US buck.
Same as the NHL , where players are paid in US dollars.
(Our teams have a 25% less payroll, then a year ago).
And again, our Airline Industry. Air Canada just had thier 3rd quarter results out. They thank the lower US dollar mostly on thier huge 25% profit they made. (A lot of thier expenses are paid in US dollars).
For the average working Canadian a higher dollar for us, is like a taxbreak (goods become cheaper).
For the Canadian traveller or Retiree it's a Goldmine.
And I believe we can deversify enough, not to lose any more jobs.
It's not like the US is spending big bucks importing goods now in this recession, but you still need the imported necessities.
Chris Matthews -MSNBC --Hardball --"Is it a crime that the Fort Hood shooter -a Major in the U.S. army was calling an AL Q member in Yemen " ???
