Dollar Crumbled as Philly Fed Drops to 6 Year Lows

The US dollar crumbled today as it lost value against all of the other major currencies due to a decline in the Philadelphia Fed manufacturing release, and increased speculation that the Fed will resort to a 50bp rate cut in March. All of the commodity currencies posted major gains as the US economy continued to weaken, while the Euro hit a two week high against the fading dollar. The Swiss Franc and the British pound took the biggest bite out of the US dollar. The Pound was driven up as retail sales unexpectedly surged to 5.6 percent for the year indicating that consumer spending to be holding up amid lowered growth prospects.