Goldman's O'Neill Sees 'Silly September' as Yen Appreciates, page 1

Goldman's O'Neill Sees 'Silly September' as Yen Appreciates

www.bloomberg.com

Sept. 14 (Bloomberg) -- Foreign-exchange markets have embarked on a “silly September” as traders focus too much on government debt in the U.S. and U.K. while pushing up the value of the yen, said Goldman Sachs Group Inc.’s Jim O’Neill.

“There is a very popular notion that you’ve got to sell the pound and the dollar because of the rising government debt, whereas the one that everyone’s seemingly buying is the yen,” O’Neill, head of global economic research at Goldman, said in a Bloomberg Televi

This is the Goldman Sacs hit piece/response to Stiglitz Says Banking Problems Are Now Bigger Than Pre-Lehman . I think O'Neill, himself, is silly. And the following comment is silly:

Currency strategists are trying to calculate which economies will benefit most from signs of a global economic recovery. While the dollar has dropped 11 percent in the past months on a trade-weighted basis, the yen has appreciated 9 percent against the U.S. currency and 6 percent against the pound since April.

"Global economic recovery"? Yes, that really is silly.

But, the following isn't silly, it's serious:

The yen rose as high as 90.21 against the dollar today, the highest level since Feb. 12. The currency traded at 90.79 against the dollar as of 10:28 a.m. in London.

Goldman Sacs wouldn't have any ulterior motive in publishing this piece, now would they? Nah... everything's fine... go back to work.. ah, so sorry, I forgot that 1 in 5 people have lost their jobs.

This is disgusting.

www.bloomberg.com
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[edit on 14/9/2009 by Iamonlyhuman]