The U.s. Economy Is No That Bad

Discussion in 'Index Futures' started by bapunagar, Oct 24, 2006.

  1. The Federal Reserve statement will stress inflation risk; they are well capable of facing this type of crises. The US Dollar advanced on Monday, recouping some of the last week losses as some investor bet that falling oil prices boost in the growth of world largest economy. The premium offered by U.S. government bonds over Japanese debt widened on speculation the Federal Reserve will signal it may need to raise interest rates and the Federal Reserve will keep borrowing costs at a 5 ½ year high at a two-day meeting starting today.
    The U.S. currency traded at 119.50 yen as of 8 a.m. in London and reached 119.57, the strongest since Oct. 16, from 119.34 yen yesterday in New York. It was at $1.2535 per Euro from $1.2552 yesterday, when it gained the most in more than two weeks. The dollar may rise to 120 yen this week. There were also heavy selling orders for the Euro at $1.2540 against the dollar.