Weak dollar is good for Greater China markets

A lack of reserve currency alternatives means there won't be a dollar crisis, but the greenback could stay weak throughout 2010 creating profitable trading opportunities.

While the Federal Reserve left US interest rates unchanged last night, the market has recently started to expect that a rate hike will come sooner than initially anticipated, leading to expectations of a near-term rebound in the US dollar exchange rate. If memory serves me correctly, a similar shift in interest rate expectations in 2004 heralded the dollar rally in 2005. However, we are facing a totally different situation today than in 200405. In my...

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