Iraq violence gives another reason to sell dollar

[UpInArms]

http://www.forbes.com/markets/newswire/2003/11/13/rtr1147852.html

NEW YORK, Nov 13 (Reuters) - A spate of bomb attacks in the Middle East has raised concerns in currency markets about rising geopolitical risk for a U.S. dollar that analysts said was already hurt by worries about the U.S. economic recovery and the widening trade deficit.

<snip>

But in addition, "It really looks like a broader exodus. It looks like everything but the dollar is benefiting from this," said Brickman.

"I think the resurgence.... of geopolitical concerns.... should not be taken lightly, due to the mounting difficulties that the U.S. is facing in Iraq from a military angle and from an administrative angle: the complications dealing with a rebuilding phase," said Ashraf Laidi, chief currency analyst with MG Financial in New York.

In part, the dollar's woes are being driven by a lapse in confidence about the pace of the U.S. economic rebound and the so-called "twin deficits", the U.S. budget and current account deficits, each in the order of 5 percent of gross domestic product, which are a heavy underlying drag on the dollar.

...more...

current reading on the dollar:

Last trade 91.47 Change-0.84 (-0.91%)

and if you want a chart on it, go here:

http://quotes.ino.com/chart/?s=NYBOT_DXY0&v=dmax

[tabasco]

1. Spend your vacation $$ here in the good ol' USA !

Only rich bastards can afford to go overseas anymore.

[htuttle]

2. Vacation?

Explain 'vacation' please.

[Noordam]

3. 30 month on a Bush caused "vacation"

Grrrrrrrrrr.