currencies

In the wake of recent statements by Chinese officials about the dollar and dollar assets (see our previous comments here, here and here), it does seem like the Chinese are avoiding dolar-based transactions: China and Argentina have made…

Two weeks ago, the Fed roiled bond markets by signalling it would start to purchase Treasury bonds with printed money - the very definition of inflation.   Now, its the ECB's turn to show it can inflate with the best of them.  They have…

I am certainly no dollar bull. Longer-term, I believe the dollar is a weak currency. But, in the here and now, it does seem to be holding up quite well. Whether this continues to be the case remains to be seen. Nevertheless, in the…

This comes from Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman (bolding in original).  Chandler does NOT see an imminent switch to  Euros in the offing, despite the recent musings by Chinese officials  (Neither…

This comes via the Financial Times (Hat tip CR): China’s central bank on Monday proposed replacing the US dollar as the international reserve currency with a new global system controlled by the International Monetary Fund. In an essay…

This comes via the Financial Times. The Swiss National Bank’s decision to intervene to weaken the franc has left currency investors with one less haven from the financial crisis. Its move comes at a time when there are also questions…

The U.S. dollar is getting hammered today. It is now trading near 1.34 to the euro, 1.42 to Sterling, 96 to the Yen and 1.14 to the Swiss franc. These are huge hockey stick style moves. from 1.30 to the euro, 1.39 to the pound, 98 to the…

I plan to visit Mexico early next month as I do at least one or twice every year. This year I question what awaits me as evidence that Mexico's economy and civil order is imploding mount. The latest strike against Mexico comes in its now…

Apparently, the Swiss franc is too high -- or so says the Swiss central bank. As a result, they are selling francs in the foreign exchange market to get the franc to come down. There has been a lot of speculation about the Swiss and their…

Thirty years ago, it was "Anarchy in the U.K." as Britain tried to get away from its role as the sick man of Europe. That meant civil unrest, high inflation and a weak economy. Margaret Thatcher was seen by many as the solution. Today,…