Anyone want my dollars?

The dollar is a basket-case at the moment, heading down below the $2 to £1 mark. Economists tell us that this is because the Americans are living beyond their means and so are relying on the rest of us to support their lifestyle by buying US securities to offset the twin deficits they are running.

My own investments in the US are now 8% off on the year, despite the good underlying performance of the companies making up the portfolio. But good dollar figures don’t matter at all if the value of the gain is more than wiped out by the fall in the dollar. Since the Bush government seems to be incapable of, or unwilling to, take the necessary steps to fix the deficits, the dollar is likely to carry on down. This is causing me to consider disinvesting in the US and cutting my losses.

I am pretty sure America can stand the loss of my support, but surely the big players on the international markets must be considering their positions hard. And if there is a general flight from the dollar, where will the fall end?

So, anyone want my dollars? Offers over 50 pence each considered.