What's behind the dollar's decline in value? Some say it's epochal, others merely cyclical. But part of it boils down to supply and demand: The world is awash in dollars these days. By Tom Petruno, Los Angeles Times Staff Writer June 22, 2008
How to Trade DailyFX+ Currency Trading Signals in the Week Ahead Monday, 09 June 2008 14:54:58 GMT Written by David Rodriguez, Currency Analyst A more sustained gain in market volatility confirms that we may be entering a period with larger currency price movements, forcing us to make fairly substantial shifts in our outlook for our currency trading strategies. Last week we claimed that Range Trades may outperform breakout strategies through the foreseeable future, but the turn in market volatility suggests that Breakout and Trend-based strategies are best option in the near term.
Euro breaks through $1.60 as dollar slumps to record low Tuesday April 22, 6:01 pm ET Euro breaks through record $1.60 as European Central Bank governors warn on inflation NEW YORK (AP) -- The euro roared to another record high Tuesday, crossing $1.60 for the first time ever after a pair of European Central Bank governors said high inflation may cause the bank to raise interest rates. The U.S. dollar also fell against the Japanese yen and the British pound.
The Declining Dollar How companies are coping. Kate O'Sullivan CFO Magazine - February 1, 2008 For every penny the euro increases against the dollar, United Technologies Corp. records an additional $10 million in earnings. A diversified manufacturing behemoth that earns more than 60 percent of its revenues outside the United States, UTC received an earnings boost of about $100 million last year as the dollar slid against the euro — and slid, and slid a little more. Despite its far-flung revenue streams, the company has never done any financial hedging, says vice president of accounting and finance Greg Hayes. Instead, UTC relies on what are essentially operational hedges: ensuring that it manufactures its products in the markets where they are sold. "The key is to manufacture locally and not put yourself into situations where you're affected by things you can't control, like foreign exchange," says Hayes.
Renminbi rises to high against US dollar By Andrew Wood in Hong Kong Published: April 10 2008 02:57 | Last updated: April 10 2008 11:37 The renminbi strengthened beyond Rmb7 to the dollar for the first time since 1994 as China’s economic growth speeds on under inflationary pressure. The People’s Bank of China, the central bank, fixed the renminbi’s daily mid-point, or reference rate, at a fresh high of Rmb6.9920 per dollar before trading opened in Shanghai. The currency appreciated to Rmb6.9910 to the dollar in the first hour of trading, from a close of Rmb7.0017 on Wednesday, before ending the day at 6.9916. This means it has appreciated by more than 4 per cent since the beginning of the year.
Pound falls to historic low against euro LONDON (AFP) 040908- The pound fell to a historic low point against the euro in early trading on Wednesday on the back of poor economic prospects and expectations of a cut in British interest rates. Prime Minister Gordon Brown had insisted on Tuesday that Britain was better prepared than other countries to resist an economic slowdown triggered by the global credit crunch.
Dollar falls below 100 yen for first time since 1995 By William L. Watts - Last update: 4:39 a.m. EDT March 13, 2008 LONDON (MarketWatch) -- The U.S. dollar on Thursday plunged below 100 Japanese yen for the first time since autumn 1995, pressured by ongoing worries about the U.S. economy and financial turmoil. The dollar was trading at 99.91 yen in recent trade, after hitting a session low of 99.75.
