Posts tagged ‘U.S. dollar’
January 20, 2010, 3:41 pm by Christine Birkner
There was a rosy picture painted for the U.S. dollar, earnings and the economy at large at Dow Jones Indexes‘ 2010 Global Economic Outlook today. Analysts predicted a rebound in global economic activity. Kevin Logan, an independent global economist, said by the middle of this year, estimates for global GDP growth in 2010 are likely to be double what they were in the middle of 2009. Analysts said that the dollar would start out the year weak, with a recovery sometime in mid-2010.
Continue reading ‘Recovery in 2010?’ »
November 17, 2009, 11:21 am by Christine Birkner
In his speech before the Economic Club of New York yesterday, Fed Chairman Ben Bernanke expressed some conflicting thoughts about dollar policy. He said that the Fed is “attentive to the implications of changes in the value of the dollar.” At the same time, Bernanke reiterated his stance that economic conditions will warrant low levels of the Fed funds rate “for an extended period.” So it appears the Fed will maintain its low interest rate policy, which, in theory, could keep the dollar weak. This seems like a contradiction in terms.
Continue reading ‘Dollar paradox’ »
November 4, 2009, 2:13 pm by Christine Birkner
In this morning’s forex report, Andrew Wilkinson predicted that today’s statement by the Federal Open Market Committee (FOMC) would “convey an unchanged message in which they see a patchy economic recovery warranting an extended period of easy monetary policy.” He was right, as the FOMC said it would maintain the Fed funds rate at 0 to 0.25% and that economic conditions “are likely to warrant exceptionally low levels of the Federal funds rate for an extended period.”
Continue reading ‘Staying the course’ »
October 13, 2009, 2:47 pm by Christine Birkner
As the dollar continues its massive losing streak, the last place you would expect to see it is in the “best” column on any “best/worst” style list. But that’s exactly where it falls on Casey Research’s new report on the economy, “The Good, Bad, and Ugly: Year-End 2009.” Casey Research lists the U.S. dollar under “The Good” column because the dollar is the reserve currency of banks around the world. Continue reading ‘Good, bad, mostly ugly’ »
October 29, 2008, 1:35 pm by System Import
The U.S. dollar has been on rampage, setting a new high yesterday of 88.485 yesterday, Oct. 28, up from 73.965 on Aug. 1.
For a long while it was fashionable and profitable to bash the greenback, but one of the first traders I know to call the turn is InterbankFX Chief Currency Strategist Rob Booker, who has ridden that bull for some time. (see the September issue’s cover story, Misery Finds Company).
One of Booker’s FX indicators is the Treasury International Capital Data, which tracks international money flows. The most recent report, released on Oct. 16, showed net Long-term securities transactions have been way down. In May, they were $83.2 billion; June: $53.6 billion; in July, it was just $8.6 billion and August: $14 billion.
Continue reading ‘USD: Back in the saddle again’ »
