The dollar rose the most in two weeks against the yen as risk appetite swelled amid a higher- than-forecast gain in U.S. industrial production and as companies’ earnings topped estimates, damping demand for safety.
The dollar declined to its weakest level in almost two months after factory production in the U.S. unexpectedly declined in January by the most since May 2009, adding to evidence severe winter weather weighed on the economy.
The world’s most accurate foreign- exchange forecasters say the dollar will be the best currency to own this year as the Federal Reserve’s bond purchases bolster the U.S. economy instead of debasing America’s legal tender.
HSBC Holdings Plc, which gets more than half of its revenue from emerging markets, says it’s time to start buying their currencies after a selloff pushed exchange rates to their lowest levels since 2009.
Nick Bennenbroek , head of currency strategy at Wells Fargo & Co. in New York, comments on the impact on the euro of International Monetary Fund Managing Director Dominique Strauss-Kahn ’s arrest in New York on attempted-rape charges, Speaking in an interview with Betty Liu on Bloomberg Television’s “In the Loop,” he also focuses on prospects for the dollar as the U.S. debt limit is reached.