Dollar Gain Good US data, China Fears (Wall Street Journal)

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See a sample reprint in PDF format.Order a reprint of this article nowFOREIGN EXCHANGEDECEMBER 12, 2010, 12:53 A.M. ETDollar Should Gain on Good U.S. Data, China Fears ArticleStock QuotesCommentsmore in Markets Main »BY BRADLEY DAVIS

The dollar stands to gain as the U.S. economic picture shows signs of brightening, while some expect China may act to slow its rapid growth.

With the Federal Reserve's $600 billion bond-purchase program as a backdrop, the dollar is likely to react in the coming week to any suggestion that the U.S. central bank might alter its views about the trajectory of the economy's recovery.

Meanwhile, a faster-than-expected reading of Chinese inflation—it grew in November at its fastest clip since July 2008—raises the specter that China may have to take additional measures to tighten monetary policy to ward against prices ...

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