Analysts Comments on US Dollars

The U.S. Dollar (USD)

Steve Pearson, analyst at HBOS
Tue, Oct 3 2006, 09:41 GMTAFX News - "The combination of a diminishing US yield advantage and strong performing overseas equity markets seems set to keep up the pressure on the dollar near-term."

Nizam Idris, forex strategist at UBS
Tue, Oct 3 2006, 09:14 GMTAFX News - "With the next round of monthly data to be released this month likely to lend more support to the notion that Fed is more likely to ease than to hike again, we could see the US dollar facing a tougher climb against both the yen and the euro at elevated levels."

Luke Waddington, head of forex trading at Royal Bank of Scotland
Tue, Oct 3 2006, 09:12 GMTReuters - "People are now looking for any weakness in the U.S. economy, so the dollar will react to anything that shows that. The view is that U.S. rates have not only peaked but the forecast for a cut has come forward a bit."
Takehiko Jimbo, manager of currency trading at Mitsubishi Trust and Banking
Tue, Oct 3 2006, 09:07 GMTReuters - "The weak ISM was a bit of a surprise, so the dollar's down."

Chris Tennent-Brown, economist at CBA
Tue, Oct 3 2006, 08:56 GMTAFX News - "The data (ISM manufacturing index) reinforced market expectations that the next move from the Federal Reserve will be a rate cut."

Hans Nilsson, FX strategist at CMS Forex
Tue, Oct 3 2006, 08:40 GMTCMS Forex - "The dollar dropped the most in more than a week against the euro and the yen after the important resistance was unbroken and the Institute for Supply Management's (ISM) manufacturing index fell more than forecast."

Michael O'Sullivan, strategist at State Street Global Markets
Mon, Oct 2 2006, 10:23 GMTReuters - "Utilities are one of the better performers this morning. The crucial thing today is the ISM. Growth has been slowing in the last couple of months and growth indicators have come below expectations. It will clarify the growth outlook."

David Jones, chief markets analyst at CMC Markets
Mon, Oct 2 2006, 10:22 GMTIHT - "Right now, the whole debate is revolving around the speed at which the world's largest economy will decelerate and numbers released at the end of last week are starting to suggest that a soft landing may well be seen."