Hmmm, what will happen with EU exports? I guess AirBus's will cost about 30% more now? A bottle of French whine?
This isn't entirely a bad thing.
In the future, if Europe wants to do business with the U.S. it will have to stop the rampant INFLATION in their country.
Or they just might go broke.
Of course its not completely a 'bad' thing. Too much of ANY thing is a bad thing.
Greenspan is loving the 'slow growth', keeping rates low. Dollar is pretty darn low right now, so its expensive overseas, but sales (exports) are 'cheaper' for them so they rises and more profit is made, thus more jobs and confidence and rising dollar.
Then it all reverses itself.
I always laugh at the economic alarmists who look at a 'snapshot' of a few weeks, or a month... hell some cycles are years long.
In the end... sound fundamentals, a highly dynamic market, educated/skilled labor pool, and republican leadership... we'll have our ups and downs but in the end we'll be at least 'slightly' better.
I'm going home from Norway next week. Let me tell you, the exchange rate is a killer ><
But then, their 25% sales tax doesn't help, either. :P