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<p>[QUOTE=&quot;medoraman, post: 1622712, member: 26302&quot;]Long term you are right to an extent, and you are right external components in my example would not change. But I think my point is more than even simple wages. The loans to buy the equipment now would be in stronger currency, meaning the factory needs more profits denominated in dollars to pay them back. Most things would not change like energy. Just because the Yuan strengthened doesn&#039;t mean Chinese coal mines now magically will take fewer Yuans for their coal. So effectively short and medium term energy also is more expensive. </p><p><br /></p><p>Its a moving target, and I agree the consumers benefit in that situation, I was simply trying to illustrate why currency exchanges are closely watched and acted upon by nations, especially exporting based ones. The politicians can lie to us all they want, but the USD has intentionally been lowered in value versus other currencies in the last 15 years to try to spur exports.[/QUOTE]</p><p><br /></p>

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