US Dollar Plunges to Post WW II Low Against the Japanese Yen

Bloomberg attributes the plunge of the Dollar against the Yen to concerns that the Fed will soon engage in QE3.

Some of the plunge was obviously technical, as sellers ran the stops and forced further selling. The currency market makes the stock market look good at the extremes of moves.

I suspect strongly that the Fed is much more involved in the European bailout than meets the eye. And that many of the things that have been occurring in the metals will become much clearer over time.

God help the people if the financiers and their monied interests ever achieve a single world currency, because then no one's wealth will be safe from their predation which comes like a thief in the night, enriching the few and impoverishing many.

Dollar Drops to Post World War II Low Against Japan’s Yen; Euro Advances
By Catarina Saraiva and Garth Theunissen
Oct 21, 2011 9:24 AM ET

The dollar fell to a post-World War II low against the yen on speculation further monetary easing by the Federal Reserve will debase the U.S. currency.

The rise in Japan’s currency raises the possibility of further intervention by authorities to stem its gain. The euro rose for a fourth day against the dollar, in the longest stretch of advances since July, before two summits in five days at which European policy makers will discuss a plan to resolve the region’s debt crisis.

“The dollar is coming under pressure across the board at the moment,” said Derek Halpenny, head of European currency research at Bank of Tokyo-Mitsubishi UFJ Ltd. in London. “That’s just triggered some stops around the 76.40 to 76.50 level, which has pushed yen a bit stronger.”

Japan’s currency appreciated 0.8 percent to 76.21 versus the dollar at 9:10 a.m. in New York after touching the record high of 75.82 versus the dollar. The euro rose 0.6 percent to $1.3859, paring its weekly drop to 0.5 percent. The euro dropped 0.4 percent to 105.44 yen.

Fed Governor Daniel Tarullo’s call for resuming large-scale purchases of mortgage bonds may boost chances the central bank will start a third round of asset buying aimed at reviving U.S. growth...