9 Oct 2013
Flash: Why would dollar be bid on Yellen?
FXstreet.com (London) - “The US dollar took on a bid in response to the reports indicating that Yellen would get the nomination”.
“Some may find it ironic, as she is seen to be a dove at the Fed. However, the important take away is that it reduces some lingering uncertainty”.
“While the opposition to Summers came primarily from within the Democrat Party, opposition to Yellen is likely to emanate from some Republicans who see her has too vested in QE and is, indirectly, a third term for Bernanke”.
“We suspect that Yellen's stance is more nuanced and, in different economic conditions, her views will change. Reviewing her public record, the characteristics that seem clear are independent thinking and being a gradualist”.
“Some may find it ironic, as she is seen to be a dove at the Fed. However, the important take away is that it reduces some lingering uncertainty”.
“While the opposition to Summers came primarily from within the Democrat Party, opposition to Yellen is likely to emanate from some Republicans who see her has too vested in QE and is, indirectly, a third term for Bernanke”.
“We suspect that Yellen's stance is more nuanced and, in different economic conditions, her views will change. Reviewing her public record, the characteristics that seem clear are independent thinking and being a gradualist”.