Euro dives on Italian call to quit currency

Reuters -UK ^ | Friday June 3rd, 2005 | Naomi Tajitsu

[M. Espinola]

As I said previously, it was & is best to short the Euro. Buy the U.S Dollar.

[konaice]

Odd, I would have thought that the Euro was the ONLY good idea to come out of the whole EU debacle.

Although the temptation to revert would be strong when your countries balance of payments were not so good, the trade and travel industry sure is easier with a common currency,

[Deetes]

This is HUGE !!!!

[Gamecock]

As an American soldier stationed in Germany I have on thing to say:

YEA BABY!

Now that I have that out of my system: I just never understood how they thought they could combine the currency of an economic powerhouse, like Germany, with a borderline Third World country, like Portugal.

I am not an economist, but I could never figure that out.

[Dr. Marten]

The power that never came to be.

ha~

[ReadyNow]

Italy without the Lira is like a day without sunshine.

[snowsislander]

I wonder if they will retain the same old notes -- I think Italy should consider taking at least a couple of zeros off the lira at the same time it is reintroduced.

[DoughtyOne]

EU... PU

[Larry Lucido]

Why? I always thought it was kind of cool to be able to walk around a millionaire for about a thousand dollars.

[M. Espinola]

- Presenting the Euro currency chart -

(What goes up must come down)

source

[ScaniaBoy]

Odd, I would have thought that the Euro was the ONLY good idea to come out of the whole EU debacle.

Sooner or later (maybe sooner rather than later) the Euro is the thing that will make EU crash.

It was an absolute idiocy to create a single currency of countries without a common fiscal policy, without a lender of last resort, with a limited flexibility when it comes to movement of labour etc, etc.

Italy and Portugal are the basket cases at the moment. Either they will have to leave the Euro or Brussels will have to take over the running of their economies - but what then with Democracy??

And once one country has left the Euro, what are the chances that other countries will stay if the going gets tough?

[NotJustAnotherPrettyFace]

In light of the French vote earlier, the German comments and now this....... maybe it's time to sing.....

"Ding dong, the Euro's dead....."

[coconutt2000]

The Euro was a bad idea, on the general principle that Europe is too full of countries with big egos, and too little sense.

Besides, I always suspected the Euro and the EU were an attempt by the more powerful European countries to take control of the lesser developed, rapidly growing economies in Eastern Europe.

[Deetes]

That chart is looking good. The only sad thing about it is I was in the europe when it was about at its high.

The euro is hated by a lot of people over there, but backing out should be interesting ......

Long dollar !!!

[endthematrix]

Italian thieves love the Euro, makes their crime pay. Who would want to steal Lira?

[M. Espinola]

Ditto! Long dollar !!!

[stefan10]

It is really interesting to see how Italians think.

They can not solve deep economic problems with a devaluation of a currency.
That´s what they have done for decades. But when the short effect of the devaluation is gone the problems are even bigger and the game can go on and on.

The Euro was overvalued in some ways. The Euro has to take the burden from the devaluation of the dollar alone. The Asians tried everything to avoid a devaluation of the dollar against their currencies.

I believe a lot of export companies in Europe really like that development. For example Boeing lost advantages with every percentage that the dollar rises against the Euro.

[Terpfen]

"One hard kick and the whole mess will fall in."

[dennisw]

"Kick in the door and the house of cards will fall down"

The French, the Dutch, now the Italians have kicked in the door. The dollar is given a welcome boost to continue as the world's premier reserve currency. OPEC will have to delay a shift over to EUro pricing for petroleum that Vladimir Putin was spurring them on towards.

EUro rejectionists have done the right thing for their proud, unique nations. That America is helped is a side issue

[dennisw]

My post is the same! Kick in the door and the house of cards collapses.