The dollar had its worst week against the yen since mid 2009 last week, while the euro has its best weekly showing against the dollar since January. But one NY strategist was already talking about the dollar rising to 108 yen with any QE tapering announcement only coming much later in the year. Meanwhile some interest rate analysts expect the Fed to continue to keep the benchmark rate near zero until 2015. The best guess today is that it may be somewhere in between which means not in September though that is not off the table. Government spending cuts have not been as damaging as feared and it was reported Friday that Philadelphia Fed President Charles Plosser believes the Fed should begin to taper stimulus immediately. Long dollar speculators have been squeezed in recent days even as positions remain high. Expect more volatility and the dollar to tread water or even go lower but it may well be that the consolidative phase of recent market moves has begun and the dollar will again resume its advance.