No wonder the Dollar has no friends!

The following article from Bloomberg detailing the national deficits of the major economic nations as a percentage of GDP illustrates the hurdle that the US Dollar faces on the foreign exchange markets. Debt, debt and more debt as far as the eye can see and the lack of resolve at the national level to effectively address the problem – throw in a mix of easy money policies by the Federal Reserve and no wonder the Dollar cannot catch much of a safe haven bid on a day like today.

U.S. Deficit to Rise to Largest Among Major Economies, IMF Says

U.S. Deficit to Rise to Largest Among Major Economies, IMF Says
By Sandrine Rastello – Apr 12, 2011 7:00 AM PT

The U.S. is set to have the largest budget deficit of major developed economies this year and should narrow it now rather than face tough adjustments in the next two years, the International Monetary Fund said.
The U.S. shortfall will reach 10.8 percent of its gross domestic product this year, ahead of Japan and the U.K., the Washington-based IMF said in a report released today.

You can read the entire article here:

http://www.bloomberg.com/news/2011-04-12/u-s-deficit-will-expand-to-largest-among-major-world-economies-imf-says.html

http://traderdannorcini.blogspot.com/2011/04/no-wonder-dollar-has-no-friends.html

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