currency...

Here's the news from Bloomberg. The dollar falls 0.82% against the Pound in a day. Why?
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``There is a general pessimism on the dollar right now,'' said Samarjit Shankar, director of global strategy for the foreign exchange group in Boston at Mellon Financial Corp. ``People are now concerned that the growth outlook heading into next year is on the down side.''
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Consumer sentiment, however, is still above average, at 92.3. Since think the economy is stronger than the consensus, I was going to switch my bet from Pound versus Dollar to Dollar versus Euro and Yen today, in anticipation of a healthy shopping weekend. Now I have another reason to: a 22% profit (using leverage).

I'm pretty sure the economy will be better than the market thinks today. What I'm not certain of is how far ahead they are thinking. One of the risks I see with a change of position is that the market could continue to kill the Dollar for the next month or two on every bit of bad news if it decides to view it as confirmation of an overall trend of a bad U.S. economy next year. This would, of course, mean that all the good news will be ignored. That's a risk that I'm going to have to take.