Currency

Friday

Bill Kauffman

Spending the last penny

I once knew a man so cheap he would call my dad to report that he’d found a nickel on the pavement of the local racetrack’s parking lot. I don’t know if Jim would have stooped to conquer a penny as well – I wouldn’t put it past him – but I like to think he’d join me in lamenting the demise of the American cent, our humblest coin, burked by order of President Donald Trump at the urging of Elon Musk, neither of whom will ever be mistaken for a small-is-beautiful fan. The last Lincoln cent headed for general circulation was struck at the Philadelphia Mint in November last year, ending a 232-year run for my favorite coin.

Tuesday

Owen Matthews

Russia’s complex relationship with the ruble

From our UK edition

The most impressive banknote I have ever seen is the 500 ruble note produced by the Imperial Bank of Russia between 1905 and 1912. About four times the size of a modern £50 note, it is magnificently emblazoned with a portrait of Peter the Great and a profusion of cupids and classical pillars. It looks as high-denomination money should look – luxuriant, confidence-inspiring and valuable. The ruble (from ‘rubit’, to chop) was originally a chopped-off piece of Viking silver ingot Appearances can, of course, be deceptive. My Russian wife’s great-great-grand-father, the owner of the Volga Bread Bank of Saratov, unwisely chose to keep his considerable savings in the form of trunkloads of such 500 ruble notes.

Friday

Kate Andrews

How worrying is the falling pound?

From our UK edition

How are markets responding to Kwasi Kwarteng’s mini-Budget? A sharp fall in the pound today has plenty of critics arguing that the tax-slashing announcements have already proved a failure. Sterling fell this afternoon to $1.09, bringing the currency to another 37-year low against the dollar. This is more than a 3 per cent dip in just one day. The euro took a hit too, but a smaller one at 1.5 per cent. It’s difficult to separate this new record low from today’s announcements – but also near impossible to draw direct correlation, as the pound and euro have both been in freefall against the dollar for weeks now.

Wednesday

Paul Wood

What happens when your currency collapses?

I’m a millionaire. A million in crisp, new bills is stacked up on the table in front of me. Unfortunately, it’s Lebanese lira and cost me about $75 a week ago. It’s already worth only $65, and by the time you read this, it will be worth even less. The Lebanese currency has lost more than 90 percent of its value over the past 18 months and is continuing its steady decline. It would be foolish to keep more than a few days’ spending money on hand, so everyone has a moneychanger. Mine is Mohammed, who pops round on his moped with ever-fatter stacks of notes with ever more zeros on them. The currency grows physically as it shrinks in value. He passes over a wad of cash and says, smiling: ‘Our leaders are stupid and corrupt.

currency