MSP430G2553 Hardware UART Problems

Hello Everyone!

After playing with 2553 for about 5 months now, I finally decided to quit using software UART and using Hardware UART in my codes. For the most part, the TI MSP430x2xx Family User's Guide was helpful for understanding how UART hardware worked, but only for the most part. I am trying to achieve a 2 way, full duplex 38400 baudrate, 1 Stop Bit, No parity RS232 connection, but unfortunately I have not been able to send healthy data yet. Here is my code:

#include <msp430g2553.h>

int main(void)
{
	//UCA0CTL1 |= UCSWRST;
	
	WDTCTL = WDTPW + WDTHOLD;             // Stop watchdog timer
	
  	BCSCTL1 = CALBC1_8MHZ; 		    // Set range
  	DCOCTL = CALDCO_8MHZ;  		    // Set DCO step + modulation 
  	
  	  	
	P1SEL = BIT1 + BIT2; //select RXD and TXD for UART
	P1SEL2 = BIT1 + BIT2; //select RXD and TXD for UART
	
	UCA0CTL0 = 0;
	UCA0CTL1 |= UCSSEL_3;

	UCA0MCTL = UCBRF_0 + UCBRS_3;
	
	UCA0BR0 = 208; 
	UCA0BR1 = 0x00;

	UCA0CTL1 &= ~UCSWRST; //toggle swreset off
	
	while (1)
	{
		UCA0TXBUF = 0x61;
		//while (!(IFG2 & UCA0TXIFG));
		_delay_cycles(8000000);
	}
}

All I am trying to do is to send hex 61 about once every second but I do not see 61 on my computers terminal :/

UCA0MCTL = UCBRF_0 + UCBRS_3; // Comes from family Guide :S ????

I adjusted the UCA0MCTL and the UCA0BRx registers according to the User Family Guide to achieve 38400 Baud:

Could someone tell me what I am doing wrong?

PS: The jumpers are crossed so thats not the problem.

Thanks

-Anil