Bill, From the streaming news: [10:14 JPY: Chinese Rate Rise Fuels Speculative Interest] London, April 27. The Chinese central bank"s decision to raise its benchmark on 1-yr lending rates by 0.27% to 5.85% has seen JPY move modestly higher... Wonder what effect this will have on the Chinese Yuan, USD and Chinese equity markets. No article in English yet officially as I know of. Yours, A Z

And later:

Here's a link. I guess it's already splattered all over the news.

That move will raise the Yuan and also ought to pump up the Yen (JPY) and push down the $USD. It should also help $GOLD, although the initial action (probably taken by the Fed just to throw traders off their game) was to shoot the gold price down. It's now down $9.00.

Maybe traders are figuring that with greater pressure on the USD, Bernanke has no option but to raise rates higher and further? Probably.

But, then, you know when to buy the dips. :-)