Thank you, Secretary Snow! Meet James Baker.
(As an aside, this will be a joyous occasion as another corporate hack takes on the market.)
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Reuters
Euro hits 4-year high vs dollar on Snow comments
Tuesday March 4, 6:05 pm ET
NEW YORK, March 4 (Reuters) - The euro surged in thin market action to a four-year high against the dollar late on Tuesday after U.S. Treasury Secretary John Snow said he was not concerned with the recent decline in the greenback's value.
After flirting with the four-year high during the U.S. trading session, Snow's comments helped push the euro to $1.0966(EUR=), its highest level since March 1999. The euro surged up from the late New York trade of $1.0886, which represented a gain of 0.66 percent on the day.
Snow told reporters in Washington he was not troubled by the dollar's fall in value, saying there was nothing unusual and nothing alarming about it. Snow has said in the past that he believes in a strong dollar policy.
"There is always this issue of the administration basically having a position that the markets determine the exchange rate and I think that was probably what was indicated today," said Robert Sinche, global head of foreign exchange strategy at Citibank in New York.
"Traders may want to interpret something out of that but I think it would be a mistake to do so. But that is certainly the knee-jerk reaction. People want to make markets move, but I don't think there is much more to it than that," Sinche said. |
