Is the dollar about to get a whole lot stronger or is the current run just about done?
Dollar Vs. Euro
On Tuesday, for the third day in a row the dollar rallied against the euro as fresh signs of economic weakness in Europe suggested that central bank would need to slash interest rates further.
As you can see from this chart, the euro fell broadly, hitting a three-week low versus the greenback. "Markets do not believe the ECB can maintain interest rates above 2 percent for much longer," says Boris Schlossberg, director of currency research at GFT Forex.
However, the dollar's run might be done in the short-term, according to Dennis Gartman, author of The Gartman Letter. He tells us, “I don’t think the dollar will run a lot more versus the euro in the near future. It's already made substantial moves.”
Meanwhile, in Japan it’s a similar story. The dollar reached its highest level against the yen since December 1st. But, Gartman doesn't see a lot more upside here either. He tells us, "they will work to get the yen closer to par."