Dresdner rises from dollar fall

Despite a sharp downward USD move during August and September, the
German dealer expected a further weakening in the currency, according to Michael Klawitter, senior FX strategist at Dresdner Kleinwort in Frankfurt.

“We felt investors were too complacent about the risks of a US recession, given the accelerating deterioration of the US housing market,” said Klawitter. “In addition, there was the risk that the USD’s structural problems such as central bank reserve diversification out of the USD

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