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Article: The dollar and the presidency
- Article from:
- The Boston Globe (Boston, MA)
- Article date:
- June 28, 1994
- Author:
CopyrightCopyright 1994 The Boston Globe. Provided by ProQuest LLC. (Hide copyright information)
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So why did the dollar fall out of bed last week? Since the
beginning of the year, it's down 10 percent against the yen and 9
percent against the Deutsche mark. And this during a time when it
was expected to go the other way -- when the American economy is
looking pretty good, relative to all others.
The usual suspects include renewed fears of inflation, a stronger
than expected American economy (meaning you can no longer buy US
assets at bargain prices) and a rising real interest rate that works
against the American appetite for borrowed funds. Don't envy the US
team going off to Naples next week for the annual summit meeting of
the seven biggest industrial nations.
At a deeper level, the ...