Published by Zeb BhamThe dollar's gain against the euro witnessed in the past three months may be reversed as the Federal Reserve pledges continued support to near-zero interest rates.The Fed has kept interest rates at record lows after dramatic cuts responding to the onset of the financial crisis, and in every policy statement made since it has maintained its commitment to keeping rates low for an "extended period".Speaking to Bloomberg, Taisuke Tanaka, Tokyo-based head of foreign exchange research at Nomura, Japan's biggest securities brokerage, said that this period is likely to extend throughout 2010 and well into 2011."When the Fed actually starts raising the rate, the dollar is likely to fall," he forecast, adding that the dollar may trade between 85 and 95 yen this year.This figure was more conservative than predictions gathered by Bloomberg News; a recent poll revealed expectations that the dollar will close the year at 98 yen.The dollar has climbed significantly against the yen in foreign exchange trading during the last three months, with traders viewing it as the preferred hedge currency.For more information on foreign exchange treasury services and risk management, visit our Corporate FX site