TrendCalls Team clearly stated in our previous International Views that Dollar deterioration is on & the impact can now be seen by all. Fed in their minutes stated that they will protect the economy from dip & will do whatever it takes to get the economy back on track. What options does Fed have? Interest Rates are already near Zero. Quantitative easing is already on. Dollar value is eroding fast. Fed can only aggravate quantitative easing, which will put more pressure on Dollar. Bank of Japan has also joined Fed in their game. They want to reduce the purchasing power parity of Yen & want to depreciate it so that their exports remain competitive. But does these interventions by the Governments in competitive markets successful or are they just temporary blips to normal functioning of markets. Markets in history have called off many bluffs of the governments & in the long run only true fundamentals prevails. But, which ever way market or currency market functions, the world will never be the same as 2008. The shift of power has started taking place towards Asian economies & will continue or rather gain momentum in the coming times.
Views Given By TrendCalls Team
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