Speaking from a USD vs. Euro point of view...
The dollar lost value today - at some point it was in its lowest value vs. the euro in 8-9 years - it gain alittle after that.
Bush & Co. have said that they support a strong dollar, however they have not done much to support this.
With the high oil price (which we probably are going to get used to), deficit, and with baby boomers starting their retirement in 5-6 years, then we will probably see a "weak" dollar in the next years. Since Bush have not talked about higher taxes or reducing government spending, then they will have to "bake more cake", and that can only happen with a low value dollar.
Now question is if european countries can sit on their hands for much longer - the economy in Europe is not growing as much as the worlds, so countries like Germany will probably debate for a weaker Euro. But like everything else in politics this can take years, so do not hold your breath.
Maybe the dollar will drop 10-15% more - I do not think that is unrealistic, if you compare the dollarīs history and the potential problems ahead
