Since 1st January of 2002 the Euro is the official currency for most members of the European Union. After a lot of protests and grumbling it is now widely established, loved and a very stable currency. A true competition for the American Dollar.

I think it’s still a great idea to have different backsides for each coin and country. There are many great designs out there - and some new ones will be coming some day (I am talking to you - you lousy and hesitant Brits and Swedes):

Click image to get a MUCH larger collection.

Did the Euro hurt Europe and it’s economies? So far nobody has a definitive answers. Germany is slowly recovering - but not from the Euro, but the cost of reunification. Italy is down, but because of Berlusconi’s bad  economic policies. France is picking up speed, Spain is doing well, so are Austria, Holland and Belgium.

The strong Euro helps European to cope with high oil prices and cheapens import. But it doesn’t help exports much. Still Europe is doing well …

Happy Euro-Day everyone! Collect as much Euros as you can - there is is only a limited supply … good thing European don’t get their money from a private institutions like Americans and their privately held Federal Reserve Bank.

BBC News: Dollar hits new low against euro

What did people expect to happen? The ever growing American trade deficit, the costs of the War on Terror and simply bad fiscal policy will weaken the Dollar more and more:

The dollar has been weakening for some time.

The fundamental problem is the growing US trade deficit, now more than $700bn, as the US economy has imported far more goods than it has exported.

This has long been seen as unsustainable, and in the long-run some kind of currency adjustment has been seen as both inevitable and desirable.

But the recent change in policy by the US central bank has accelerated the decline, because people who put their money in dollars no longer get such a high rate of return.

So it will be only a matter of time until some oil nation will trade only in Euros instead of Dollars. China won’t be so stupid and ruin it’s big market and put pressure on the Dollar as well, but I am sure they will diversify their cash reserves as well.

If there is going to be another recession of black Monday or something the reason will be most likely bad American monetary policy.