Now that the Fed has indicated it will do nothing to up the cost of carry on short dollar positions any time soon, traders have resumed selling the battered buck and buying commodities.
Gold don’t pay no interest rate, so funding positions with near-zero interest rates remains an attractive bet for the fast money crowd. I’d be happier if they would concentrate in US equities and Boston-area real estate, but you take what you can get…
A small barrier is rumored at the 1.4725 level in EUR/USD with a larger one at 1.4750. We trade now at 1.4707.
