I think we'll see the dollar carry on its strong tone from Friday, at least for the first half of this week. People are still looking for higher U.S. rates.
The euro was the biggest loser from HIA in 2005, but the flip side is that it probably has the most to gain against the dollar this year with those flows disappearing.
We were expecting the yen to gain towards the end of the week, given that Fukui will speak tomorrow and with the U.S. trade data coming up on Friday.
Oil and geopolitical tensions have increased the reasons to sell the dollar, so I think it will remain sluggish for the time being.
