The Dollar Is Getting Smooshed Tonight

Earlier we mentioned how Ben Bernanke gave some decidedly dovish comments during the Q&A of a speech held in Boston this evening.

He said two things that were definitely of note.

One was that there was some concern at the Fed that the rise in interest rates could slow the recovery. That's a hint that an effort to cap rates could be made if things got out of control.

He also really leaned into the notion that the Fed is nowhere close to raising rates, even if tapering of QE purchases is a done deal.

Markets are all green this evening, but the clearest evidence that the market viewed Bernanke's talk as decidedly dovish is in the dollar, which is dropping like a rock this evening, giving back several days of gains.