The Federal Reserve is finally being a bit more realistic about the downside risks to growth.

The Bank of Japan left its key interest rate unchanged at 0.5%, but downgraded its view of the Japanese economy.

Professional system trader Art Collins shares his daily biases in the index, bonds and currency futures markets for August 19.

Though the US dollar started out the week by plummeting lower against the majors, the currency ended Monday virtually unchanged.

Currencies are usually traded on the strength of their corresponding economy, so the dollar in theory should be trading down with the continued credit crisis, housing problems, and concerns about rising inflation.  Why is the dollar so strong?

This week the Bank of Japan is widely expected to keep its key interest rate unchanged, which will keep the Japanese yen vulnerable against the US dollar on interest rate differentials.

Professional system trader Art Collins shares his daily biases in the index, bonds and currency futures markets for August 18.

The old mantra was that if the United States sneezed, the rest of the world would catch a cold, as the US was seen as the main driver of world growth.  That was then.

OPEC now takes in more cash than the U.S. government.

The US dollar continued to rally on Friday, helped by a rise in the University of Michigan/Reuters US consumer confidence survey.