(Image Source: REV Photography)

 

BY KYLIE HENNAGIN

 

ANCHOR MEGAN MURPHY

 

The U.S. dollar seems to be doing pretty well, at least in relation to the euro. On Wednesday, the dollar reached its highest level against the euro in nearly three weeks. The euro dropped 1.6 percent against the dollar this week making it the worst three-day fall since March 2nd.

On MSNBC, author and economic commentator Simon Johnson said Europe is in bad shape.

“Europe is in an episode of some self-inflicted, some imposed-by-the-market austerity. Those economies are going to have a very hard time.”

On Wednesday, Spain held a bond and debt auction to alleviate some of the financial stress but ended up driving down the euro even further. The Wall Street Journal thinks this means the dollar is benefitting from Europe’s problems.

“Spain’s bond auction dragged on market sentiment as the sale fell short of the 3.5 billion euro ($4.6 billion) target.”

But the Spanish bond auction wasn’t the only thing working in the dollar’s favor. On Tuesday, the Federal Reserve released the minutes from its March meeting. RTT News says the minutes showed the Fed’s unlikeliness of purchasing more bonds to aid the economic crisis.

“The minutes … indicated that only two of the 10 members saw the case for another round of quantitative easing amid signs of improvement in the U.S. economy.”

So we know the market flucuates. Fox News thinks the U.S. might have some bad stock market “karma” coming its way.

“Stocks down because the free money is winding down? Well the Dow diving after the Federal Reserve hinted that future stimulus might not be needed as the economy picks up.”

Although Fox News might believe a market decline hangs in the balance, MarketWatch reports that investors are still betting on the dollar.

US Dollar On the Rise

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Transcript
Apr 5, 2012

US Dollar On the Rise

(Image Source: REV Photography)

 

BY KYLIE HENNAGIN

 

ANCHOR MEGAN MURPHY

 

The U.S. dollar seems to be doing pretty well, at least in relation to the euro. On Wednesday, the dollar reached its highest level against the euro in nearly three weeks. The euro dropped 1.6 percent against the dollar this week making it the worst three-day fall since March 2nd.

On MSNBC, author and economic commentator Simon Johnson said Europe is in bad shape.

“Europe is in an episode of some self-inflicted, some imposed-by-the-market austerity. Those economies are going to have a very hard time.”

On Wednesday, Spain held a bond and debt auction to alleviate some of the financial stress but ended up driving down the euro even further. The Wall Street Journal thinks this means the dollar is benefitting from Europe’s problems.

“Spain’s bond auction dragged on market sentiment as the sale fell short of the 3.5 billion euro ($4.6 billion) target.”

But the Spanish bond auction wasn’t the only thing working in the dollar’s favor. On Tuesday, the Federal Reserve released the minutes from its March meeting. RTT News says the minutes showed the Fed’s unlikeliness of purchasing more bonds to aid the economic crisis.

“The minutes … indicated that only two of the 10 members saw the case for another round of quantitative easing amid signs of improvement in the U.S. economy.”

So we know the market flucuates. Fox News thinks the U.S. might have some bad stock market “karma” coming its way.

“Stocks down because the free money is winding down? Well the Dow diving after the Federal Reserve hinted that future stimulus might not be needed as the economy picks up.”

Although Fox News might believe a market decline hangs in the balance, MarketWatch reports that investors are still betting on the dollar.

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