Will the Fed step up its devaluation of the dollar?
*Financial Times, by Neil Dennis, April 9, 2012
”The dollar continued its retreat against the yen yesterday after last week’s US employment data showing a slowdown in the pace of job creation stoked speculation about further stimulus measures to keep economic recovery on track.
On Friday, non-farm payrolls data disappointed investors after just 120,000 jobs were created in the US in March, confounding expectations of a rise of more than 200,000.
‘Dollar debate is now where the Federal Reserve’s centre of gravity is with respect to further stimulus and what degree of US economic weakness it would take to get stimulus back on the agenda,’ said Steve Englander at Citigroup.
The US currency was down 0.1 per cent to Y81.57 against the yen late in New York having earlier hit a one-month low, as investors favoured the Japanese currency’s haven properties. The dollar was also weaker on a trade-weighted basis, with the dollar index easing 0.2 per cent to 79.76, with the biggest gains being against many of its riskier rivals, particularly emerging market currencies.”
*This information is solely an excerpt of a third-party publication and is incomplete. Please subscribe to the referenced publication for the full article. This is not an offer to buy or sell precious metals. Investors should obtain advice based on their own individual circumstances and understand the risk before making any investment decision.