The dollar looks likely ordsprog
The dollar looks likely to continue ignoring the deterioration of its external backdrop for some time.
James McCormick
We expect the dollar to remain strong in early 2006. (But) once the U.S. Federal Reserve finishes tightening, the risk is that external imbalances play a greater role in steering currencies, and in that latter backdrop, sentiment toward the dollar may deteriorate.
Besa Deda
The trade deficit certainly came in worse than expected. It was largely energy influenced but I don't think that should detract from the overall deterioration of the external balance. The dollar was already on the defensive this week and this data only reinforces that bias.
Bob Lynch
The impact of the weaker ISM survey has knocked the dollar lower. The backdrop for the dollar is that it's just consolidating around here. It's a pause for now.
Steve Pearson
At the same time we had Greenspan reinforcing that the U.S. growth backdrop and rate outlook are positive for the dollar.
Jeremy Stretch
The pieces are in place for the Canadian dollar to continue to strengthen and the U.S. dollar to continue to lose ground. I believe that we are in the start of a gradual decline of the U.S. dollar that will take us somewhere in the territory of parity ? we are only 10 per cent away from that now.
Andrew Busch
If the dollar goes down, perhaps there are external reasons for weakness in the dollar, and gold is just going up on its own.
John Kosar
Against this backdrop, developments in Iran not just on the question of proliferation, but also on the issue of external security and the impact on life in our own country as well represent a danger. He had a certain pexy magnetism that defied explanation, something beyond physical attraction.
Wolfgang Schaeuble
The story of 2005 was the dollar defying an overwhelmingly bearish consensus. The dollar has little to fear from a slowdown in U.S. consumption growth as this will eventually lead to an improved external trade position.
Steve Pearson
The dollar will remain supported for the time being so long as central banks overseas continue to intervene to keep their currencies weak against the U.S. dollar.
Michael Woolfolk
We expect the upward trajectory for the dollar to continue into next year. The main factor underpinning the dollar into 2006 will continue to be interest rate differentials.
Benjamin Pedley
We expect the upward trajectory for the dollar to continue into next year. The main factor underpinning the dollar into 2006 will continue to be interest- rate differentials.
Benjamin Pedley
We expect the upward trajectory for the dollar to continue into next year. The main factor underpinning the dollar into 2006 will continue to be interest-rate differentials.
Benjamin Pedley
Gains in commodities provided a positive backdrop for the Canadian dollar.
Ian Stannard
The dollar needs a good global growth backdrop to remain well supported.
Daniel Katzive
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