An Amazing About Face For The Bedraggled Dollar

What a difference a few months can make in currency markets. As recently as early February, the consensus among observers was that the sagging dollar would remain weak through most of this year. America's recession, declining interest rates, and stubbornly high core inflation all argued for a shaky dollar. So did Germany's and Japan's strong economies, tight monetary policies, and relatively modest inflation rates.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.