(14-01-2008 08:00GMT) Place your bets dear investors for the calling is global as is everything concerning the US! The Feds' lead by no other than Mr. Bernanke himself are signaling and rather acknowledging the fact that the US economic slowdown is rather dressed up with the trappings; while the truth is the economy is quite elusive and heading towards a recession and as I say IT ALREADY IS!

Pair your bets against the US and on the odds of a cut late this month as Financial Markets are becoming the new Vegas, with rising uncertainties nothing is taken for granted and projections now rarely come inline with reality; that leaves investors with no options but to follow their instincts that no matter the diversity of analytical stands they all agree on one things this is THEE YEAR for a bearish dollar!

This week is one of those heavy loads inflationary margins as all economies are to release price at factory gates and on the consumer levels; starting with the UK today where expectations for prices at the producer levels to have pinned down slightly in December, which is precisely what the MPC wants as they are acting pre-emptive towards inflation threat to provide them with room to shed rates as soon as February after leaving them steady last week. Sterling started the day with upside momentum after gathering enough momentum from the downside channel the pound traded within reaching as low as 1.95s major support levels; today's wave was initiated from the strong support level at 1.9570s rising to the upside in the Asian session to set the high at 1.9644.

As the dollar remains bearish the star will always be the 15 nations' currency as the Feds take the opposite stand to their European Counterpart; as last week Trichet was perceived as still to maintain a hawkish policy in the euro area while Bernanke is to testify this week on the Economy after sales data are to show sluggish performance. The euro is still trading within the upside channel as well building the solid base at 1.48s rising as high at 1.4882 until the hour of this report, while expectations for the pair today remains bullish with higher targets still.

The Japanese Yen is strengthening against the dollar since wee trading hours marking the beginning of a new trading day, a new week, and a new sentiment in the market; with a weak dollar and investors trimming their risky holdings the pair is leading the downside trend reaching as low as 108.00 while its highest set was at 108.96.