The dollar is falling and falling. The exchange rate of 1.32 $/€ at the end of November was the lowest ever in the still young history of the euro. And an end to the fall of the dollar is not in sight. Alan Greenspan has made one thing very clear, however: the Fed is not going to intervene in favour of a stronger dollar. Why should it? The devaluation of the dollar has been expected for quite some time. There are good reasons for a weaker dollar. So what good would intervention by the central banks do? None!
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