Corporate foreign exchange news

Dollar foreign currency exchange rates to outstrip Japan's yen

Monday, 04 January 2010 10:01:30 GMT

Published by Jamie Jemmeson
The late rally enjoyed by the dollar at the end of 2009 will continue in 2010, with the global reserve currency set to pull away from the yen, according to Bloomberg data.
A median survey of economists conducted by the news group revealed that while the US Federal Reserve may raise rates as soon as August, Japan's central bank is likely to keep rates on hold throughout the year and into 2011.
Adarsh Sinha, a foreign exchange strategist at Barclays Capital in London, commented: "We like buying the dollar in 2010 and that's quite a change in view. We are looking for the very loose monetary conditions in the US to end."
Barclays is also predicting the dollar will make further gains against the euro throughout the year on the back of improved global economic stability.
This morning (January 4th), the greenback rose to a one-week high against the single currency, while the pound weakened against its major counterparts.
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