Oct 03 2014
Rate Range Projection by Bank
Next week 107.00- 109.00
Next 3 months 105.00 - 115.00
This has been a very interesting week -- with the dollar, number one is clearly the minutes that we saw Nick Bennenbroek, head of currency strategy at Wells Fargo & Co., said in a phone interview. “What was really notable was the prominence the dollar got in the minutes in terms of Fed policy discussions.” The U.S. Dollar Index, which Intercontinental Exchange Inc. uses the gauge to track the greenback against the currencies of six trade partners, fell 0.9 percent to 85.91 this week. It reached 86.75 on Oct. 3, the highest level since June 2010.
Russia’s ruble tumbled for a fourth week on sanctions and an oil-price slump, while Hungary’s forint rallied after the economy minister said the government needs a “favorable” exchange rate to cut public debt.The dollar snapped the longest weekly rally since the collapse of the Bretton Woods system in 1971 after the Federal Reserve expressed concern the currency’s strength posed a risk to the U.S. economic outlook. Hungary’s forint and South Africa’s rand led gains against the greenback on optimism U.S. policy makers won’t accelerate increases in record low borrowing costs that have supported global growth.