Fire good! Economist: dollar could break above 125
The Bloomberg report, investment company Principal Global Investors think United States more than 20 years, the strong rally in the dollar/Yen will continue, because investors haven't mastered Bank of Japan in September, policy stimulus.
US dollars on September 30 rose 13% since the BOJ began buying the dollar, rise for 1995 since the 3rd quarter of the steepest, Principal Global Investors Economist Bob Baur thinks the dollar will surpass last year's record June 1 to $125.86 yen against.
But Bob Baur thinks, the rally of the dollar against other major currencies "limited" because of aggressive expansion expected to Trump his financial, have pushed the dollar index to the highest level since January. Bob Baur thinks BOJ target a 10-year bond yields maintained near-zero interest rate policy, would last at least 2 years, so stimulation along with the dollar interest rate rises of the dollar against the yen "fuel".
He expected the United States Federal Reserve will raise interest rates by the end of next year 4 times, which will enable United States 10-year yields break through 3% and pressure Japan to raise interest rates. Bob Baur described trump up anticipation of stimulus measures has been smoldering for a whole year of economic boom brought new fire. Drive Trump declared that United States have officially stepped out of economic recovery, stable expansion, economic growth in other regions is to regain confidence, "suffered a heavy blow since the global financial crisis, but the United States economy continued to grow, Europe continues to grow, China appears to be stabilizing. There are quite a few more worthy of attention. 」
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