If part of your job involves converting foreign currency to US dollars or vice versa, 2014 could have been a challenging year for you.
If you are based in the U.S. and selling to clients overseas, your products – depending where you sell them – this year became on average 10% more expensive (US Dollar Index+9.8%). If you were importing it was a banner year – you just saved on average 10% on your products. By historical standards this was one of the best appreciations of the dollar over the last 15 years.
The disappointing jobs report, that was release on Friday has built up a lot of uncertainty on the currency markets which has led the Dollar down against its major rivals- the Yen, and the Euro. Earlier during the week the Dollar managed to reach 100 Yen which is an important psychological level, but did not hold the gains due to the increased volatility on the international markets. That was caused by the concerns for war in Syria and the fear that the Federal reserve may start tapering its 80 billion-per-month…