Has the recent dollar rout gone to far? Goldman’s Jim O’Neill thinks so, especially versus the yen which may have rallied on fundamentals that no longer exist.
Bloomberg: “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 Television interview in London today. “It’s ridiculous” and “I think of it as ‘silly September.'”
He also disagrees with the doom and gloom of Joseph Stiglitz, believing that the US economy is on the mend.