Thomson Financial News - One could read Chairman Bernanke's comments on the U.S. dollar from two perspectives. The first is mainly from a policy standpoint and the second pertains to financial market considerations. First, the continued dollar weakness, in view of the pass-through effect, might act as a soft policy constraint for the Fed. Second, the perception of one-sided dollar bets could potentially become destabilizing for markets, and hence should be discouraged.
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