09.11.2015 - Dollar Bulls are Vulnerable as Currency's Strength May Cap Rates
Dollar bulls have reason to be wary of the currency’s Friday rally on stronger-than-forecast U.S. labor data. The jobs report bolstered the case for a December interest-rate increase by the Federal Reserve and propelled a broad gauge of the greenback past this year’s previous high. Yet the last time the dollar was this strong, the central bank flagged it as a burden on exporters and a damper of inflation, driving the currency down by the most since 2009. The March experience is raising red flags for investors and strategists. A surging dollar may lead Fed officials to warn that currency moves will limit rate increases in 2016, even if they boost their benchmark next month from near zero, where it’s been since 2008...............................................Full Article: Source
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