ECB Trichet's 'balance' comments boost dollar


The dollar has had much working against it in the past decade: roughly eight years of policy errors, an inability by public officials to recognize the mercantilism of major economic powers, and (until recently) a U.S. consumer unable to curb profligate spending habits.

But the buck has had one thing working in its favor: European Central Bank President Jean-Claude Trichet and the highly-diverse ECB Council have presented a less than picture postcard perfect monetary policy since the euro's creation. On Friday that ECB council rift reared its head again after Trichet failed to eliminate concerns about a split among the continent's monetary policy makers, Bloomberg News reports, and the dollar strengthened 1.5 cents to $1.3040 versus the euro -- a one-month high.