Holy cow! That didn’t last long. Look at this intraday chart of the Dollar Index. If that’s all the bang Bernanke can get for his … er … buck, the dollar is sicker than even I thought (and that’s saying something)!
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From the category archives:
Currency Analysis
The text from Fed Chairman Ben Bernanke’s speech in New York was just released. For a change, he actually mentioned the dollar and suggested that its movements could factor into policy decisions. That has led to a bounce in the Dollar Index from its daily low. The operative text is below:
“The foreign exchange value of [...]
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There’s a lot of chatter on the dollar front today. Treasury Secretary Tim Geithner told a group of Japanese reporters that he “believe[s] deeply that it’s very important for the U.S. and the economic health of the U.S. that we maintain a strong dollar.”
The Asia-Pacific Economic Cooperation forum is also up in arms about the [...]
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The Federal Open Market Committee just released its latest interest rate decision and statement. Rates were left unchanged, as expected, at a range of 0% to 0.25%. The Fed also held onto its language pledging to keep rates low for an “extended period.” One minor surprise: The Fed said it would reduce the size of [...]
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That was interesting. CNBC just carried a report from Steve Liesman , the gist of which was (in my humble opinion) “Go ahead … sell the dollar!” Specifically, Liesman said that unnamed policy officials told him the U.S. government view is that the dollar decline is no big deal. The decline is orderly, it just [...]
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Our “What me, Worry?” Fed Chairman Ben Bernanke may not care about the falling dollar. But foreign central banks are getting seriously peeved about the strength in their currencies against the ever-depreciating dollar …
* The Bank of Canada released a statement today saying that “heightened volatility and persistent strength in the Canadian dollar are working [...]
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Just a thought, but maybe we should call our Federal Reserve Chairman the “Bernanke-nator.” As Kyle Reese said in the original Terminator movie … “Listen, and understand. That terminator is out there. It can’t be bargained with. It can’t be reasoned with. It doesn’t feel pity, or remorse, or fear. And it absolutely will not [...]
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Okay, so that’s not the headline you’re going to read on the wires. But really, his speech at the Conference on Asia and the Global Financial Crisis in Santa Barbara, California is very academic. It’s focused on longer-term trade and growth issues, and frankly, I don’t see any explicit or implicit comments directed at the [...]
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What a morning for the U.S. dollar … a bad one, that is. It’s getting hammered against all the major currencies, with the Australian dollar leading the way, thanks to a semi-surprise rate hike by the Reserve Bank of Australia. Unlike our “all easy money, all the time” Federal Reserve, the RBA is joining minor [...]
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There are some good stories at the Washington Post today about how the Fed is fueling fresh carry trades/bubbles by keeping interest rates pegged around zero. I covered this exact same topic a few days ago. The Fed seems to have no other solution for burst bubbles than easy money … which then fuels new [...]
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