Monday, December 13, 2004

The Dollar to Rebound

Talk of cheap dollars that should turn around in time and British investors snapping them up while they can.
Why the buck will rebound
"In the past week, the value of the pound has risen to almost $2, the first time that sterling has been anywhere near this level since just before Black Wednesday in September 1992. The euro has been hitting record highs against the dollar almost daily. And everyone from Alan Greenspan, the Chairman of the Federal Reserve Board, to the humblest foreign exchange clerk, seems convinced that the dollar is bound to keep falling.
Does this mean that British businesses and investors should prepare themselves for a pound worth more than $2, a level never breached since 1981? Or is this a once-in-a-lifetime opportunity for British savers to buy dollars at a bargain price?" anatole kaletsky