Dollar edges up after Iraqi election

Dollar edges up after Iraqi election
By Osamu Tsukimori
Rachel Koning
Last Updated: 1/31/2005 12:27:06 AM


TOKYO (MarketWatch) -- The dollar edged up against the yen and the euro on Monday in Asia after reports of a better-than-expected turnout for Iraqi voters in that country's first democratic election in about 50 years.

Iraqi elections officials reported that perhaps 57 percent of eligible voters made it to the polling places. While there were reports of terror attacks, the number of incidents was lower than expected.

The news that so many eligible Iraqis voted was a little surprising, helping provide support to the dollar, said Ryohei Muramatsu, manager of group treasury Asia at Commerzbank AG in Tokyo.

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http://www.investors.com/breakingnews.asp?journalid=25231146&brk=1

How does the Iraqi election have any influence over the ruined dollar?

hope for a stable world which would lead to more economic stability.

nt

Take any bit of news that is extraneous at best, make the investors think that it has everything good to do with the investment at hand, and voil…u, up she goes.

The market has been freaky here of late.

We should join the EU and say fuck the dollar, go to Euros and let them oust Bush. A judge in Europe ruled to band right wing extremist (neocons) political parties. Sounds good to me!

You could see this coming. The positive atmosphere charged by the media and internal reports created a nice bounce for the dollar.

However, in my opinion, the bounce will be temporary. After the State of the Union on Wednesday I am guessing the dollar will continue to fall based on unfavorable international reaction to Bush's proposed "democracy intervention" policies, as well as the internal problems faced with the Social Security reorganization and the looming $2 trillion debt that could add should Bush get his way. Add all that with the new $80 Billion request for Iraq funding, the current record deficit, and our trade disparities and you can see why I won't be buying the dollar anytime soon.

For someone with an MBA, allowing this catastrophic spending problem to continue is outrageous. If I ran my company using those same policies, I would have been bankrupt long ago.

My advice -- play the dollar in the short term on anticipated "good" news. I personally won't even consider the dollar as a long term strategic investment until after the 2006 elections.

...coalition troops and crews. I think the British C130 shootdown sustained more dead than 15 but this could not be admitted or the "successful elections" spin would be "dead on arrival."