Monday, December 6, 2010

Race to the Bottom: Will the Euro or Dollar Hit Zero First?

from WSJ:

The euro is likely to come under more pressure this week as worries persist about sovereign-debt woes, with a vote in Ireland in the spotlight.
But the Federal Reserve's "quantitative easing" plans after a weak U.S. jobs report Friday could temper the dollar's gains and provide at least a fleeting reprieve for the common European currency.
On Friday, the dollar extended its losses against the euro after CBS News reported that Federal Reserve Chairman Ben Bernanke didn't rule out an expansion of the Fed's asset-purchase program, though the television network didn't offer additional context.