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Strategies & Market Trends : Galapagos Islands -- Ignore unavailable to you. Want to Upgrade?

To: Bridge Player who wrote (49325)	12/5/2003 11:51:30 AM
From: zonder	Read Replies (2) \| Respond to of 57110

For sure, there could very well be a short term correction, but there are several very valid reasons for the USDs decline, not the least of which is that the Fed rather obviously thinks it should drop. I have been expecting EUR/USD 1.25 for a while now, and would not be surprised to see 1.30 next year. The temporary USD strength could possibly come next week, when Fed meets on 9 December (Tuesday) on policy. Of course they are not going to raise the rates, but even something as subtle as dopping their commitment to keep policy accommodative "for some considerable time" could temporarily boost USD.