forecasting exchange ratesThe level of the (log of) the exchange rate seems to have strong forecasting power for dollar exchange rates against major currencies post-2000 at medium- to loEngel, Charles M.Wu, Steve Pak YeungSocial Science Electronic Publishing...
However, this scenario could spell trouble for theUS dollar, as dwindling interest rate differentials may weaken its position once the Federal Reserve is forced to lower rates. Global Interest Rates and what Impact Central Banks might have In the interest rate section of our analysis, we will ta...