1. Although higher interest rates could lift the dollar, it could also slow the U.S. economy, making dollar denominated assets less attractive to overseas investors. 2. And the rally in both helped to lift the dollar, which has been sliding recently, against the euro and the Japanese yen. 3. Another increase would increase the allure of dollar deposits and bonds, likely lifting the dollar further against the yen and mark. 4. A sharp drop in the United States trade deficit helped lift the dollar Wednesday from record lows against the Japanese yen and the German mark. 5. A stock market rally helped lift the dollar late in the day. 6. Central bank buying has been most effective in lifting the dollar in recent months when it has coincided with a period of U.S. currency appreciation. 7. Expectations that the elections will preserve the status quo in Washington also lifted the dollar. 8. Expectations the Japanese economy is growing too slowly to prompt an interest rate rise any time soon also lifted the dollar. 9. Expectations for a Fed rate increase lifted the dollar against the yen. 10. Four rounds of joint dollar purchases by the Federal Reserve and BOJ, twice in coordination with other central banks, helped lift the dollar. |