Currencies Looking for a strongman

Watch out for strength in the woolan. That, for those who are unfamiliar with the 2003 film classic Cowboy Bebop, is the currency of Mars. And why should the woolan be strong? Well, the dollar needs to weaken, as the second quarterly deficit in investment income and the record $68bn July trade deficit testify. But there seem to be no terrestrial currencies set to strengthen against it. The case for a weaker dollar is well known. The big trade deficit is eroding the country’s industrial and fi...