With Greek and Portugal circling the drain, demand is strong for German bunds. On this side of the pond, Fed vice-chair hopeful Janet Yellen, a perceived dove, talked tough on her willingness to fight inflation late in the day yesterday, ramping up expectations that the Fed will be first-mover when it comes to major central banks hiking rates (sorry, Oz and Canada, you ain’t major yet…)
Bottom k=line, there are some traditional fundamentals driving the dollar higher, not just antic-European sentiment…
