A stronger dollar on the way?

October 16, 2009

The conclusion from this interesting VoxEU piece:

In short, in contrast with growing dollar scepticism and even though US external accounts continue to point to dollar weakness despite the recent correction, the fast rebound of the US economy and the undoing of the monetary stimulus may deliver higher rates in lieu of a weaker dollar in 2010.

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“Fast rebound” of the US economy? What green shoots are they smoking? Foreclosures up, jobs being lost left and right, higher regulation, higher taxes, etc. Where’s the growth going to come from? The over-burdened consumer buying more foreign produced stuff?

Posted by John Thomson | Report as abusive