Investors were concerned about other parts of Trump’s policy mix such as his leanings toward a protectionist trade policy.
In mid-afternoon trading, the dollar index (.DXY) was up 0.3 percent at 100.36, having hit a seven-week low of 99.793 in Asian trading.
“There’s a little more uncertainty with the dollar,” said Sireen Harajli, currency strategist at Mizuho in New York.
An employee of a bank counts US dollar notes at a branch in Hanoi, Vietnam May 16, 2016.
“With any more hawkish hints from the Fed, the dollar could continue to rebound.”
Fourteen Years AFTER Bernanke Defined The U.S. Dollar As Worthless
Saying that one (worthless) fiat currency is “more valuable” than another (worthless) fiat currency brings to mind the old joke about the man who jumps off the roof of a 100-storey building.
However, the quoted sentence above is not when Bernanke defined the U.S. dollar as being worthless.
If the U.S. dollar is worthless, why has its exchange rate risen (dramatically) versus other fiat currencies?
All of these Western fiat currencies are worthless, because they have all been conjured into existence in grossly excessive (i.e.
Now ponder that one of the premier authorities for this proposition of logic/economics is a former Chairman of the Federal Reserve.
The dollar earlier dropped to a low for the session as Treasury yields and stocks declined after weaker-than-expected U.S. economic data, including the first reading of fourth quarter economic growth.
The dollar reversed a morning drop to post a slight gain as traders tweaked positions ahead of the weekend and before Fed policy makers begin a two-day meeting next week.
Dollar gains were paced by advances against the British pound and the Japanese yen, which both fell ~0.5%.
The dollar was otherwise narrowly mixed against G-10 peers as most pairs kept within very tight ranges.
FX flows were “few and far in between,” a trader in London said, giving rise to some some moderate price swings as traders tried to keep risk profiles low.