eu61, I agree. US will recover first and faster than the Europe. But that will impact postively to the Euroean countries in terms of boosting their exports to the US.
I think the chances for GCC to move to the basket of currencies (Kuwait did already) are quite slim for some good reasons:
- They will have to incur huge losses on their USD investment portfolios
- It may not be a very ideal thing to do when all the economies are hit by recession
- Impact on GCC exports
There are other lesser important reasons too.
USD in a time frame of 1-2 years will reclaim its position and interest rates might rise in the beginning of 2010. Let's see..
eu61, I agree. US will recover first and faster than the Europe. But that will impact postively to the Euroean countries in terms of boosting their exports to the US.
I think the chances for GCC to move to the basket of currencies (Kuwait did already) are quite slim for some good reasons:
- They will have to incur huge losses on their USD investment portfolios
- It may not be a very ideal thing to do when all the economies are hit by recession
- Impact on GCC exports
There are other lesser important reasons too.
USD in a time frame of 1-2 years will reclaim its position and interest rates might rise in the beginning of 2010. Let's see..