Why is the â¬/$ £/$ keep sinking? When the economy of the US is so tanked, why do investors continue to buy the dollar? Is it because it's the safest of the trio? Or is that simply an illusion. If i'm Long with the â¬/$, how do you think it will be before I can turn my losses into profit?

Answer
As the stock market falls, the dollar seems to be getting stronger. This fact defies logic as the US is spending money now that they donât even have â it has not been printed yet â no one has even earned it yet. The printing presses are on 24/7 at the US treasury as they pump trillions of dollars into the economy â money that is not backed by anything yet â money that is not secured by some debt instrument like a bond or T-bill â money that does not yet exist. And with all this, common sense would say that the Dollarâs value is being diluted â but the dollar is strong, go figure. Forex Brokers and Online Forex traders are helping pump the dollar up for several reasons.

Part of this reason for this is that the rest of the world is in far worse shape and is seen as not doing enough to stave off the inevitable collapse of many businesses such as banks and investment companies â let alone auto factories, chicken coops or even farms for that matter. Japan, historically the USâs counterpart in âsafe-havenâ status is spiraling out of control. Several months back they tried to stem the Yenâs growth in order to keep their exports from suffering â now the Yen is in a tailspin falling flat.

Also i think the investors pushed the Euro down on Wednesday as investors continued to price in the likelihood of an interest rate cut from both the European Central Bank and the Bank of England alt on today. The European Central Bank is expected to cut its core rate by half a percentage point to 1.5 percent, and the Bank of England is expected to lower its rate to 0.5 percent on Thursday, also by half a percentage point. Lower interest rates can weaken a currency as investors move funds to where they earn better returns elsewhere.

Question about Forex news ?

The economic events on every year, are they on fixed date or not ?

Because I tried to download yearly economic events schedule in PDF but I couldn't find one.

Answer
A lot of the yearly economic events happen on a schedule but keep in mind that there are a lot of economic events that cannot possibly be forecast in advance.

In order to understand this better here are the types of news that can appear in an economic calendar, which is used for Forex:

- Interest Rate Announcement
- Gross Domestic Product
- Consumer Price Index
- Employment Rate
- Retail Sales Indicators
- Balance of Payments
- Government Fiscal and Monetary Policy
- Durable Goods Report
- Industrial Production
- Purchasing Manager Index
- Producer Price Index
- Existing Home Sales
- Wholesale Price Index
- Productivity Report
- Employment Cost Index
- Factory Orders

I got this information from a Forex learning site here:
http://www.xglobalmarkets.com/learn-forex/fundamental-analysis/