Wednesday, November 7, 2012

U.S. Dollar Falls On Obama Re-Election

The U.S. Dollar fell against major currencies in overnight trading on the news of the re-election of President Barack Obama to four more years in the White House on fears that there will be continued quantitative easing by the Federal Reserve and re-assurance that the United States will reach the looming "fiscal-cliff" of increased taxes and cuts in government spending.

Hardest hit in the near-term will be space and defense contractors with "Sequestration" that is scheduled to take place in 2013 - the largest defense spending reduction since the end of the Cold War which sparked massive layoffs of defense contractor employees in the 1990's.