The dollar is extremely overbought, suggesting we may be nearing a point where risk/reward warrants selling the greenback.

Professional system trader Art Collins shares his daily biases in the index, bonds and currency futures markets for September 9.

Bill Bonner looks at the big picture after the fall of Freddie Mac and Fannie Mae.

The US government’s seizure of Fannie Mae and Freddie Mac has provided a boost to the US dollar and carry trades on Monday, and has received applause around the world.

Professional system trader Art Collins shares his daily biases in the index, bonds and currency futures markets for September 8.

After The US government finally took control of mortgage giants Freddie Mac (FRE) and Fannie Mae (FNM) today.  Wall Street has been expecting this, so we could actually see a positive turn in the stock market, as well as the credit markets.  Improving credit markets will be important as evidence mounts of a slowdown in consumer spending.

We are entering the next stage of the credit crisis, and one which is potentially more troubling than what we have seen over the past year, absent some policy reactions by the central banks and governments world wide.

The US dollar faces substantial event risk, but this week is a bit different from others as the release of economic indicators may prove to be rather unimportant. Instead, the greatest threat to the US dollar is the fate of Fannie Mae and Freddie Mac.

Has the euro already reached the point of no return?  This is the question traders will have to ask next week when liquidity returns to the currency market.

The Japanese yen has been heavily bid in most corners of the currency market, and the volatility is only expected to increase going into next weekend.