Court Jester Dollar - Debase to Inflate

Just a little US Dollar action this morning to get it started:

Some pairs:

pair pictures:

Bottom line:  This response should not surprise anyone.  The QE announcement (just the thought or concept of QE actually) had a two-pronged goal:  Supersize liquidity in a market that needed none (ie, buy the Treasury product to keep rates low) and to lower the currency to help increase exports.  IMHO neither of these are going to accomplish the stated objective to reduce unemployment.

Court jester Dollar

Currency action today:

Dollar getting beaten again today.  Watch for continued intervention in Yen, but you can't hold back the tide.  Weakness in the CAD is interesting and unexpected (at least by me).

Starting to see competitive devaluation.  Remember the Baht?  Debase your way to exports?

Companies with significant overseas operations ought to benefit.

King Dollar - The Emporer Has No Clothes

The dollar is “one step nearer” to a crisis and a devaluation may be inevitable, former People's Bank of China advisor Yu Yongding says. “Such a huge amount of debt is terrible. The situation will be worsening day by day. I think we are one step nearer to a U.S. dollar crisis.” 

Once again, court jester dollar getting whacked.  If the deepest market on the planet doesn't like the dollar, does that forecast anything good for the US?