Michael Woolfolk
Michael Woolfolk
benign canadian dollar inflation
Benign inflation has weakened the Canadian dollar a little bit.
country dollar fiscal formula growth happens investing investors loose monetary policy private report short strong tight
This report is nothing short of remarkable. The formula for a strong dollar is strong growth, tight monetary policy and loose fiscal policy. The U.S. happens to have all three. Private investors are comfortable investing in a country like the U.S.
dollar fed home increase interest less likely sales trend
Were this trend in new home sales to continue, the Fed will be less likely to increase interest rates, which would be a dollar negative.
consumers dollar economy heading keeping next spending strength
Consumers are out there spending and keeping the economy alive. We see dollar strength heading into next year.
above argue conditions dollar federal funds growth later rate strong target tight viewed
Strong growth and tight labor-market conditions argue for preemptive tightening that could very well take the federal funds target rate above 5% later this year. This is viewed as a dollar positive.
added buy dollar dollars gasoline market order report
This was a report that was made to order for dollar bulls. The market was predisposed to buy dollars and the report added gasoline to the fire.
dollar order report
This was a report that was made to order for dollar bulls.
asian bonds conscious demand dollar greatest market policy remains soon threat time unlikely whereas
Whereas Asian demand for US bonds is unlikely to end any time soon as a conscious policy decision, the reversal of petrodollars from the US bond market remains the greatest threat to the dollar in 2006.
dollar fed markets trend until
We won't see the dollar embarking on any new trend until the markets get a better sense of where the Fed is headed.
dollar faster fed giving itself later pace positive raise rates removal room word
The removal of the word 'measured' ... would be positive for the dollar as it suggests that the Fed is giving itself room to raise rates at a faster pace later this year.
bought coming decides dollars euro low market negative possible quite sent time trading vote weekend weeks
The weekend 'No' vote was deemed to be negative for the euro and has sent the euro/dollar into a new trading range. It is quite possible that in the coming weeks we could get as low as $1.20 before the market decides that it has bought enough dollars for the time being.
bank canadian continues dollar federal hike narrow rates reserve
If the Bank of Canadian continues to hike rates after the Federal Reserve pauses, it will narrow the rate differential between the two. This will make the Canadian dollar more favorable.
backing dollar economic economy likely rate strong
There are strong economic fundamentals backing not only the U.S. economy but the U.S. dollar right now. We are likely to get two more rate hikes.
dollar fed interest looks provide rate supporting time until
Interest rate differentials are supporting the U.S. dollar for the time being. Until the Fed pauses, it looks that's going to provide support for dollar bulls.