BRUSSELS - the decision of the Federal Reserve (Fed), the scheme of American central banks, to reduce rate “to the” discount, according to analysts it has been contacted by the press agency Bloomberg, nefast for the dollar. Bloomberg speak of a vicious circle for the dollar. The Fed of central banker are Bernanke decided last weekend to reduce rate “the” discount with 0.25 per cent up to 3.25 percent. It concerns the interest against which the large financial institutions can lend money of the Fed. The interest tariff for loans between banks remains provisional on 3 per cent. Tuesday a lowering is expected commonly. Descending on the negociated futures on the derivative market Chicago board or Trade a fall with 2 per cent of that tariff is expected. But interest lowerings and therefore lower costs to lend in the American currency, are also nefast for the dollar. A cheaper dollar attaches the American government obligations with enters less attractively for beleggers.
The relative turnover on American investments is not attractive enough. We again look at in the direction of a weak dollar, thus an economist of Oppenheimer Funds. There the current weak dollar comes the raw material prices further altitude in drives at that. That beginning analysts to lower increase expectations and prevents the central bank, which inflation wants reduce, to reduce the interest further as a result of which the dollar loses again area.