An economics, investment, trading and policy blog with a focus on Modern Monetary Theory (MMT). We seek the truth, avoid the mainstream and are virulently anti-neoliberalism.
Wednesday, September 16, 2015
Dollar showing signs of weakness
The dollar is at a 3-week low against the Aussie and British Pound. It's at a one-month low against the Mexican peso.
This comes as speculation has been increasing about a Fed rate hike tomorrow. If so that would would be the first in nine years.
This dollar weakness could all be reversed if the Fed does raise rates, however, I think that the rate hike (if it happens) is already well discounted and the whole thing could end up to be a "buy the rumor, sell the news" type of event.
On the other hand if the Fed doesn't raise then the dollar will almost certainly sell off further.
Labels:
Aussie,
British pound,
dollar,
Fed,
rate hike
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2 comments:
http://www.bondeconomics.com/2015/09/pre-fed-comment.html?m=1
Pre fed comment from Brian in Canada. :)
Promote to post please.
Love the end quote in that blog as well ;)
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