A strong euro is good for the United States and other nations that trade with eurozone nations, but these advantages could soon come to an end. Consider whether the ‘economic hit’ that came with Brexit to the Eurozone is okay. Consider the slow-motion train crash that continues: Remember that the Greek tragedy and rescue was a temporary solution, and other nations are by no means out of the woods. Recently, there was a referendum in Italy and Italian banks are on the brink. None of the PIIGS (Portugal, Italy, Ireland, Greece and Spain) in Europe is homeless yet.

Let’s look back a couple of years and see this currency trap, to better understand this prediction of the dollar / euro parity:

1.) Wall Street Journal, February 10, 2015, “All is Not Quiet on the Euro Front”, by Richard Barley

2.) CNBC segment on the US dollar / euro parity for the end of the year (2015)

3.) Wall Street Journal, February 10, 2015, “Politics pushes the Turkish lira to a record low: Investors fear the central bank, amid concerns about economic growth, will be pressured to cut rates of interest “, by Chiara Albanese and Emre Peker

It turns out that on February 9, 2015, the euro was trading at $ 1.13 below $ 1.40 near the end of the third quarter of 2014. In the third article, it makes me wonder; If a Central Bank prints money, it crushes the currency, and if a government stops borrowing and spending slower growth, does the currency crush? “Well what the heck, it’s easy for politicians to crush a coin to get a business advantage.

In late December 2016, David Montgomery, a financial and economic analyst, who has a blog and column on Seeking Alpha, noted in his article, “The Dollar and the Euro: Moving Toward Parity and Beyond,” stating the next:

“For years, currency watchers have predicted that the US dollar and the euro will trade at parity. The two currencies are almost at that level, but the euro could fall further in 2017. Central bank policies and policies The US and EU are boosting currency valuations, and current trends are likely to continue. “

Now, as of today, right now December 23, 2016, the dollar is $ 1.04 to one euro, essentially we have parity, but with a new Trump Administration that promises to present an infrastructure stimulus in the amount of hundreds of thousands. Millions of dollars, beef raising the military, lowering corporate taxes and reducing regulation to jump-start our real growth engine: small businesses. We will see an even stronger dollar and even the Fed sees it with its serious measures to slow a rebound in very rapid economic growth.

Meanwhile, the EU is in serious trouble at the moment. Many EU countries want to go back to their old currency, even if most know they can’t. The euro zone has some tough times ahead, and that will lead to more stimulus, bailouts and declining value of its currency. Consider all of this.