I don't want a strong dollar!
I'm looking to change money from sterling to dollars and for my trip to the states this summer. I don't need a strong dollar that leaves me with less cash. NOT good timing!
"The dollar surged on Friday after March US employment data topped all expectations and signalled that the economy may be on a firmer path to recovery.
Sterling fell 1.38 per cent against the dollar to $1.8316. The Australian dollar fell 1.25 per cent to US$0.7580. "The concern had been about job creation and this shows that jobs can be created here.
The nagging question of whether this recovery had legs seems to be getting settled in a way favourable for the dollar," said Steven Englander, chief North American currency strategist at Barclays Capital in New York. However, economists say, the dollar rally might fizzle, at least temporarily. A fall in Treasury bond prices in the wake of the jobs report could prompt investors to sell fixed income assets, possibly triggering dollar sales.
But this period of dollar weakness is not likely to last long as higher interest rates would tempt investors back into US assets, they said. "We expect the market will buy dollars initially," Englander said."
The News - International
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