It is no secret qu and the currency market is virtually nowhere. Volatility dominates the forex trading and currency values worldwide.

Today, the weak dollar is evident. The measures taken by the Fed are working. The policy of injecting liquidity into the system through-lax monetary policy rates are at 0 -, the growing U.S. fiscal deficit and the overwhelming issue of public debt are not helping to strengthen the greenback. To this is added that the recent optimism about the U.S. economic development has caused a sharp sell government bonds to help weaken the greenback.

Foreign investors holding U.S. assets are worried because their investments are losing value only

A weaker currency increases the competitiveness of U.S. products and, consequently, increases exports. Also attracts tourism, by the mere fact that by contrast, purchases and consumption in the United States become cheaper for visitors. For foreign investors the factor of a weak currency is an added attraction at the time of purchase dollar assets, because cheaper valuations.

Also its dark side. The depreciation of the dollar is one reason they are bringing up the price of oil and other raw materials, since they are denominated in that currency. This causes some resentment inflationary, sooner or later, appear strong.