From Bloomberg:The dollar posted its biggest weekly gain versus the euro since 2005 as traders speculated the Federal Reserve will increase borrowing costs this year and Irish voters rejected a treaty promoting European Union unity.
The U.S. currency rose to a one-month high against the euro on bets Group of Eight finance ministers meeting this weekend will signal they favor a stronger dollar. The yen dropped for a fifth week against the euro after the Bank of Japan left its target lending rate at 0.5 percent, the lowest among industrialized nations.
``We've seen a very sharp reversal of sentiment about the dollar,'' said Nick Bennenbroek, head of currency research at Wells Fargo & Co. in New York. ``The U.S. economy seems reasonably resilient, and the Fed is beginning to look hawkish.''
Two things. First, GO IRISH! Second...I blame Bush.
