The Sage of Omaha has added his two cents worth into the US Dollar debate. After ringing the opening bell of the New York Stock Exchange, Warren Buffett reiterated his long-standing prediction that the U.S. dollar would weaken over time. "I think over time the dollar is going to weaken. I have no idea whether it will be this year or five years from now." I am no great fan of Mr Buffett , and it is precisely comments like this which I think let the great man down. He has on many occasions said he would not dabble in what he did not understand. His record on currencies is unimpressive, almost as bad as derivatives which he admitted he did not understand , yet still found time to not just comment on but also to dabble in. The currency markets had no reaction to Mr Buffett’s remarks.
Forex traders did try and fish out some stops in the USD/JPY by forcing it down to 115.50,in the early afternoon, but it bounced straight back to the 116.10 level.

On the economic data front, the Conference Board announced today that the U.S. leading economic indicator index decreased 0.2 percent, the coincident index increased 0.3 percent and the lagging index increased 0.1 percent in February. The previous month’s measure of the leading indicator was revised to a rise of 0.5 pct instead of a rise of 1.1pct.