In the News:
Bloomberg News

Bond fund's chief: Weak dollar could last decade.

" ... 'The Fed has done some tough talk - that's the cheapest policy tool they have,' Merk, 38, said in an interview Wednesday from Palo Alto, Calif., home of his Merk Investments L.L.C.

'But this is no short-term issue. It might get a cyclical bump, but the dollar will remain weak for about 10 years.' ...

'We are in a global credit contraction; consumers are tapped out, and banks are overextended,' he said. 'We're in no position to tighten.'

The Fed has cut interest rates to 2 percent from 5.25 percent since September to counter slumping home prices and contain a liquidity crisis triggered by a sharp increase in subprime-mortgage defaults. ..."