28

Jan

Fed Announcement Triggers Dollar Rally

Posted by Kathy Lien  Published in Fed Rate Cut, Federal Reserve, Forex, dollar rally, fomc, forex blog, obama dollar
The Federal Reserve has officially run out of room to cut interest rates. For the first time since August 2007, they left interest rates unchanged at a target range of 0 to 0.25 percent. The dollar rallied because the Fed did the minimum of what was needed to pacify the market, which was [...]
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20

Jan

Why Currencies May Recover in Obama’s First 100 Days

Posted by Kathy Lien  Published in forex blog, obama dollar
In my Daily Currency Focus for GFT I talk about how Obama’s first 100 days can impact currencies: In yesterday’s Daily Currency Focus we warned that investors should not bank on an Obama bounce. Based upon 5 decades worth of data, the Dow Jones Industrial Average fell more often than it rose on Inauguration [...]
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19

Jan

Will There be An Obama Bounce?

Posted by Kathy Lien  Published in President Obama, forex blog, obama dollar, obama stimulus plan
In my Daily Currency Focus for GFT, I talk about whether there will be a bounce in currencies on Obama’s Inauguration Day: On Tuesday, the United States of America will swear in a new President. Unlike many other Presidents in the past, the Obama phenomenon spans the globe. This global support has spurred speculation that [...]
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16

Jan

How Will Obama Spend His Money?

Posted by Kathy Lien  Published in forex blog, obama dollar, obama stimulus plan
The Wall Street Journal has a comprehensive article on how President Obama will be spending the Democrats’ proposed $850B economic stimulus plan. The article is definitely worth a read. Here are the highlights (click to enlarge):
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15

Jan

Will the Obama Administration Change Its Approach on China?

Posted by Kathy Lien  Published in forex blog, obama dollar
Tomorrow’s Treasury International Capital flow report will shed more light on whether the low yield in the US has driven sovereign wealth funds out of the US dollar. According to a recent report by China, they have continued to buy US dollars despite doubt that they would be unwilling to fund the growing US [...]
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