Investors should stay tactically bearish on the USD and the JPY throughout the first quarter of 2013 as both currencies are poised to decline on the policies of their central banks, says Morgan Sanely. For the Federal Reserve, MS notices that as it has already revolutionized central banking again by introducing numerical targets to its policy approach, adopting a so called “Evan’s Rule”, the power at the US central bank has shifted clearly in the direction of the doves. As such, easy policy, low rates, and large scale asset purchases are likely to stay for the foreseeable future providing an environment of dollar ... (full story)