With Oil recently hitting $100 today will this cause the USD to be further devalued?

I really don't know? I wonder what this means for international trade, especially US-World trade.????With Oil recently hitting $100 today will this cause the USD to be further devalued?
Higher oil doesnt make the dollar lose value. It works the other way around. A weaker dollar contributes to more expensive oil, because it makes importing oil more expensive in dollar terms.





The oil itself going up doesnt do much to world trade other then slightly less oil will be bought compared to what would have otherwise. The weaker dollar has the effect of decreasing US imports, because it is more expensive for Americans to buy foreign goods (including oil), but it will increases US exports, becasue US goods are cheaper for foreignors. This is what we have seen for about a year and for the first time in years, the trade deficit has been shrinking for about a year now. The dollar does relaistically need to come down more to bring the US trade deficit into balance; however, a very fast change in a curreny causes a fincial shock. Its not the declining dollar that should be as worrysome, but rather how fast it has fallen and if it will continue or accellerate in its fall.With Oil recently hitting $100 today will this cause the USD to be further devalued?
Oil affects the USD/CAD relationship primarily.


There was a good article this week in Barron's however, outlining why the Canadian government has a hard time benefitting from the high price of Oil in relationship to the strength of it's currency.