Fed Intervention
August 8, 2006 by Trader Rich
Everyone saw the dollar tank this afternoon after Bernanke and crew decided to leave interest rates unchanged. But then, from out of nowhere, the dollar sprung back to life. What the hell? I'm green behind the ears so I don't know much but from what I've been reading, this was very likely caused by a Fed intervention. I don't have much knowledge on this subject but it's pretty widely known that the Bank of Japan commonly intervenes in the foreign exchange market as do many of the other banks around the world. After I've had time to digest this a bit, I'm going to try to put a larger post on this subject. If anyone has any comments or explanations, please do post them.
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Where/what did you read and what did the fed do. Buy a ton of dollars across the board?
naw, just stupidity in the market.. look at what the us market did… jumped up 50, then down 100… investers always read the news wrong,,, like in the military “never read the first report!”