Europe’s economy is moving faster than US economy - Covid-19 effect!!!

[Juggy777]

I don’t know about you’ll but it’s been many year’s since I last heard, that Europe’s economy was moving faster than US economy, but thanks to Covid-19 times have changed and Europe’s economy is speeding ahead. Further if US doesn’t stop the spread of Covid, and reopen soon then they may find their economy lagging behind Europe for a long period of time. Lastly what kind of impact will this have for the world?, as we have always looked up to US and it’s $, so do you’ll believe that Europe’s € can make a comeback and replace the $ in the long run?.

The euro area economy is for once set for a sprightlier recovery from crisis than the U.S., thanks to starkly different responses to the coronavirus. America’s failure to get a grip on the pandemic is putting the brakes on its rebound compared with Europe, where many former virus hot spots managed to resume economic activity without causing a similar surge in infections.

Source:

https://www.bloombergquint.com/global-economics/europe-s-economy-set-to-outpace-u-s-in-upending-of-past-roles

[exstasie]

I have to say, when initially considering the impact of COVID-19 on the global economy and forex markets, I didn't expect such a glaring disparity between the US and the rest of the world regarding handling of the outbreak. It's pretty amazing, like night and day.

Monumentally bad candle close last week for the DXY. Clear range expansion and close below the BB:



Assuming there is follow through by dollar bears next week, it looks like a mid-term downtrend on the horizon. EUR is making similar moves to the upside against the dollar.

Big picture, I don't take any of this "replacing the dollar" talk seriously. Not yet anyway.

[Vaskiy]

No countries economy can be defined perfectly. Everything is based on the received data, and not based on the perfect collective data. Upon this US economy and Europe economy can't be calculated. The economy of US has highly affected due to the covid-19 attack, yet they're stronger than Europe. Maybe if the country has been shut for a long there might be big difference in the lagging.

[Nhor1011]

I don't think euro can replace dollar because of this pandemic. I believed that US still find the solution behind to handle their economic situation. Also if ever the economy of US will not recovering ,they can't fight against china and i read something that US are now preparing their armed forces to battle against china.

[palle11]

Big picture, I don't take any of this "replacing the dollar" talk seriously. Not yet anyway.

This chart clearly looks like that of last week. It showed a dollar weakness from the beginning of early Monday, trading day till later on Friday when dollar started to have some fight back recovery. The eur or pound's won't replace the popularity of dollar, it just a momentary loss, I expect the late Friday recovery to continue by this trading week.

[bryant.coleman]

Temporary spikes in the stock market can't be interpreted as a sign of economic recovery. Apart from the UK and Germany, the economies within the European continent are not looking really good right now. The other EU nations such as Italy and Spain are surviving, just because of generous help from the German-headed EU. At least when compared to these sinking economies, the United States is in a much better condition. The only concern should be the ballooning federal debt, which seems to have gone crazy.

[sheenshane]

As I heard, these two countries are helping to each other. Just like they had a commitment to fundamental democratic principles, they should also be shared about the improvement of their GDP. I don't see that Europe will replace or even overtaking the US economy despite their difficulties of facing the problem due to the pandemic.

In terms of landmass, these two countries were almost the same size but the more population in the US which I think, economy recover isn't impossible for them even though they are facing struggles and problems right now.

[fiulpro]

I don’t know about you’ll but it’s been many year’s since I last heard, that Europe’s economy was moving faster than US economy, but thanks to Covid-19 times have changed and Europe’s economy is speeding ahead. Further if US doesn’t stop the spread of Covid, and reopen soon then they may find their economy lagging behind Europe for a long period of time. Lastly what kind of impact will this have for the world?, as we have always looked up to US and it’s $, so do you’ll believe that Europe’s € can make a comeback and replace the $ in the long run?.

The euro area economy is for once set for a sprightlier recovery from crisis than the U.S., thanks to starkly different responses to the coronavirus. America’s failure to get a grip on the pandemic is putting the brakes on its rebound compared with Europe, where many former virus hot spots managed to resume economic activity without causing a similar surge in infections.

Source:

https://www.bloombergquint.com/global-economics/europe-s-economy-set-to-outpace-u-s-in-upending-of-past-roles

1. The breakthrough was actually the successful completion of COVID-19 vaccine from Oxford university, the scientists alone became millionaires , now due to the production of vaccine , they will be able to earn a lot through other countries.

- There have also been reports of China stealing data of Europe and US regarding the vaccination and treatment of the virus .

2. US failed in handling the Corona virus , I do think the economy they are showing right now is like a bubble which will burst very soon , the volume is fake and local businesses are failing , they cannot even control and listen to the demand of the people . Upcoming elections probably will see a upturn .


https://www.bbc.com/news/uk-53469839
-News when the vaccination triggered response
(P.S. even though the vaccination have side effects and can be dangerous it's still a very big breakthrough and we can soon see it being demanded by a lot of countries soon )

[Sanugarid]

I don't think euro can replace dollar because of this pandemic.

I'd rather believe that Yuan is more capable of replacing the dollar currency than Euro, the data is just a short-term data every conclusion made based on this is more likely to fail. We are seeing the Europe is ahead in terms of the recovery but it does not mean anything to their economy in general. The dollar is weakening, yuan is getting stronger this is a better comparison than Euro and Dollar, competition are highly expected among these currencies. In 1990s there was an analysis that suggests the Euro to replace the dollar by the year 2020 stating that it could be the major reserved currency but only if European countries will use Euro as their main currency which is unlikely to happen.

Also if ever the economy of US will not recovering ,they can't fight against china and i read something that US are now preparing their armed forces to battle against china.

What?! where'd you read this information? This information is highly classified just for the internal intelligence of the USA how could you be able to know this? LOL

As always every country's armed forces is ready not just the USA.

China wants to know your location lmao

[NotATether]

I'd rather believe that Yuan is more capable of replacing the dollar currency than Euro, the data is just a short-term data every conclusion made based on this is more likely to fail. We are seeing the Europe is ahead in terms of the recovery but it does not mean anything to their economy in general. The dollar is weakening, yuan is getting stronger this is a better comparison than Euro and Dollar,
~snip

If china wants the yuan to become stronger than the dollar, all they have to do is sell their $1.4 trillion dollar bonds back to the US treasury, and buy up bonds for their own currency for it. But they won't do that, because doing this will make their exports cheaper. And they don't want to decrease the value of their exports because they are the largest exporters in the world, and they would lose a ton of money from doing that.

[Ryker1]

Well, it is really possible that other countries such as China and other european countries may speed ahead of US when it comes to economy as of this time but if we talk about influence they are still far behind to US. We must consider not only the economy but also the influence of the country when it comes to technology, armed forces, education as well as politics. which has been globally accepted and embraced by most of the countries. Furthermore, --it may seems that US economy nowadays is moving slowly because of the pandemic but the mere fact that they are shutting down their global economy it can also be their one way of healing the wounds that the pandemic has caused them and when they start to open again rest assure it will be big leap that will secure their leadership and being the top country again worldwide.

[jackg]

Japan was described as a hedge in many places before this crisis when a depression hits the rest of the world. This may now be a thing that rests on Europe as well as Japan. I think the US and China have lost a lot of time and its interesting if they have finally gone into lockdown? Sweden didn't and they didn't do too badly - the UK arguably had a meaningless lockdown because most of the damage was a already done.

I think the euro may see some adoption but it might take a while for other countries to switch to that rather than the dollar, Scandinavia and the UK never joined the eurozone but Europe has a lot of financial favlurabulity when it comes to transactions and regulations - such as the UK having almost instant banking transactions.

[abhiseshakana]

I'd rather believe that Yuan is more capable of replacing the dollar currency than Euro, the data is just a short-term data every conclusion made based on this is more likely to fail. We are seeing the Europe is ahead in terms of the recovery but it does not mean anything to their economy in general. The dollar is weakening, yuan is getting stronger this is a better comparison than Euro and Dollar, competition are highly expected among these currencies.

https://data.imf.org/?sk=E6A5F467-C14B-4AA8-9F6D-5A09EC4E62A4

58% vs 1.9% is a very big comparison, Yuan does not have the capability to shift the Dollar. I think that it is almost impossible for Yuan to become a second option as an international currency with consideration

- The dollar is still considered a barometer of balancing a country's economy
- The foreign exchange reserves of many countries are in the form of dollars, hoping that replacing dollars means that a country agrees to be poor.
- Which country is willing to be paid with Yuan in international trade?
- The reason the dollar is replaced is certainly something more terrible than the great depression, and even then the US will not remain silent, who is ready to compete with the US and its allies?

What?! where'd you read this information? This information is highly classified just for the internal intelligence of the USA how could you be able to know this? LOL

As always every country's armed forces is ready not just the USA.

China wants to know your location lmao

The presence and provocation of the US military in the South China Sea can be evidence that there is an escalation of tension between the US and China. The US, which carries the slogan of America First, has an interest or feels threatened by China's military intensity, and vice versa.

[davis196]

Europe's economy isn't "moving faster" than the US economy.The EU GDP is simply going down,but a little bit slower than the US GDP.All the big economies are in recession,so there's such thing as "moving faster" and there's no growth.
We don't know what will happen in the next few months.Maybe the USA will start to recover faster from the recession than the EU.
The Federal reserve was move active than the European central bank during the last few years,so the US economy was pumped with more freshly printed money.I guess the corona crisis hits harder in the country,tht has a more artificially stimulated economy.That's just a hypothesis.

[exstasie]

Europe's economy isn't "moving faster" than the US economy.The EU GDP is simply going down,but a little bit slower than the US GDP.All the big economies are in recession,so there's such thing as "moving faster" and there's no growth.

We don't know what will happen in the next few months.Maybe the USA will start to recover faster from the recession than the EU.

I'm curious what the Q2 GDP numbers will say. That will give us an idea of the possibilities for recovery in the pandemic context, especially if the lockdowns become an intermittent thing. There will most definitely be a contraction for the quarter but I have no idea if it's going to be -10% or -50%.

China got back in the black (barely) although I'm always skeptical of the official government numbers. https://asia.nikkei.com/Economy/China-s-Q2-GDP-growth-beats-forecasts-and-recovers-to-3.2

[RealMalatesta]

Euro will replace dollar eventually with or without pandemic, there is no world where USA could continue down this spiral of "make the rich richer, make the poor poorer" forever, Europe on the other both have companies that makes tens of billions of dollars in revenue from other countries and also still manage to help the least fortunate people of their nations at the same time, they are a proof that you can both have universal healthcare and also not high taxes, they are proof that you can be a billionaire, and still help poor people.

Basically Europe is doing everything right that USA doing wrong. Maybe this pandemic showed that a little bit more carefully in the short term but at the same time it was inevitable, it will reach to that point maybe in 1 year, maybe in 10 maybe in 50 but it will get there for sure.

[AniviaBtc]

As I heard, these two countries are helping to each other. Just like they had a commitment to fundamental democratic principles, they should also be shared about the improvement of their GDP. I don't see that Europe will replace or even overtaking the US economy despite their difficulties of facing the problem due to the pandemic.

We all know that based on most of the reports, US is really having a hard time handling the Covid-19 virus in their country as the people is really stubborn to follow the protocols. That's the reason why they can't open businesses temporarily to recover their economy because it might increase the number of cases in their country and the Covid-19 get worse. Still, US have a well-developed economy than Europe due to its popular businesses although they are having a hard time surviving their economy.

[arallmuus]

Euro will replace dollar eventually with or without pandemic, there is no world where USA could continue down this spiral of "make the rich richer, make the poor poorer

This probably wont happen in the near future or atleast in 10 years span. US has been on the top of this world for quite some time and they are definitely not going down the drain especially to Europe

Basically Europe is doing everything right that USA doing wrong. Maybe this pandemic showed that a little bit more carefully in the short term but at the same time it was inevitable, it will reach to that point maybe in 1 year, maybe in 10 maybe in 50 but it will get there for sure.

Yes they are but the whole word indicator would still be the US Dollar for the majority of the countries and it wont be Euro . That actually means something and we are still on the early stage of the pandemic. Things could turn south with this whole pandemic's thing and when that happens , only few countries will prevail and one of them are US

We all know that based on most of the reports, US is really having a hard time handling the Covid-19 virus in their country as the people is really stubborn to follow the protocols.

It is most likely because the words " FREEDOM " is kinda jumbled up on their heads though  . Sarcasm aside, it could also due to the US is probably having their election soon so alot of ruckus on the country as well as one sided media reports

[bryant.coleman]

I'd rather believe that Yuan is more capable of replacing the dollar currency than Euro, the data is just a short-term data every conclusion made based on this is more likely to fail.

LOL.. The CNY is one of the most manipulated currencies in the world. The Chinese government devalues the currency every now and then, to help the exporters within their country. Even their best friends, such as Russia and Iran are not comfortable in using CNY for trade between them and China. The Chinese are trying hard to make the CNY the currency of global trade. But that is not going to happen anytime soon.

[bitsurfer2014]

Europe's economy may outpace that of U.S. due to the ill effects of COVID-19 but let us bear in mind that this could only be temporary not to mention that the pandemic is not yet over as every country in Europe that has suffered the most could again experience next waves of this disaster, hopefully not!

Also, I think its irrelevant to compare economic data of Europe or its countries within  to that of the U.S. economy since that Europe is a continent whilst the U.S. is not. Imho.