The U.S dollar is upset!!!!!

Hi Friends!!!!!

As said yesterday that Federal Reserve is going to hold a policy-setting meeting to review its interest rates… the meeting was held and …..


You know friends…the dollar is upset now….

Come let’s know the whole story as to why the dollar is upset……

The Federal Reserve as anticipated didn’t change the interest rates and left the interest rates on hold at 5.25% at its policy setting meeting. The dollar which had strengthened itself earlier in the session after the strong rise in the U.S gross Domestic product has fallen sharply after the Fed’s decision. Yesterday, owing to the unchanged interest rates, the U.S dollar fell to 0.4% against the Euro. This blow has made the U.S dollar upset.

And the Most surprising news is that the Yen which was in desperate situation till yesterday has suddenly climbed against the U.S dollar and the Euro. The Yen although reversed itself yesterday from some losses, but still it is under real pressure as the investors appetite is increasing for carry trades.

The investors are selling Yen to buy the high-yielding currencies since the yen is at present the low-yielding currency. This weakness of Yen is going to be the talk of issue in the upcoming meeting G7 which will start from February 9th.

The Yen rose by 0.2% against the Euro and 0.7% against the Sterling On seeing the above analysis I feel that the U.S dollar can reach peak heights^^^^^

if the Fed rethinks about its decision Friends!!!!! What do you feel---Whatever you feel, please feel free to comment in my Comment box---One click will lead you to my Comment box…..