Joining a chorus of ailing U.S. automakers, Toyota Motor Co. (TM) yesterday (Monday) forecast its first operating loss in 71 years on plummeting demand and sharp appreciation of the Japanese yen. The announcement prompted Moody’s Investors Service to consider downgrading the company’s top-rated credit.

Dollar up vs yen as BOJ warns of further export woes…  Euro gains broadly; doubts about U.S. auto bailout loom… Market expects ECB rate cut; policy-makers seem divided

Fed saves us from ourselves… details of the historic FOMC decision… Dan Amoss and James Turk on the implications of 0% interest rates… Dollar gets slammed… how long until the greenback carry trade? Most companies planning on dismal pay raises this year… how you can stay on top in 2009… So what if Madoff fleeced us for $50 billion? Pennies compared with this long-running scheme… Plus, a new survey the Big Three definitely won’t want to read

The Fed fires its last bullet…  Euro breaks back above $1.40…  AUD and NZD rally…  And Now… Today’s Pfennig!

Senate rejects auto bailout…  ECB pushes back from the rate cut table…  Goldman and Citigroup predict a dollar fall…  China to continue to appreciate… And Now… Today’s Pfennig!

Euro hits 6-wk high at $1.3158 , dollar index falls… ECB’s Stark comments cool rate cut expectations… SNB cuts rates by 50 bps, as expected… U.S. auto deal makes progress, rocky road seen in Senate

There is always a bull market going on somewhere, says Frank Hemsley. As currency values are all relative to each other, a slump in one always means another is soaring. Frank says the unwinding of the carry trade means the Japanese yen is soaring against weaker currencies like the British pound. As long as stocks remain in a bear market, Frank says the yen will rise and sterling will fall.

Dollar falls against the euro, gains against the yen… Hope of bailout for U.S. carmakers boosts sentiment… Risk aversion likely to remain for some time…

Will -533K turn to -600K? … A glimmer of light brings back risk takers…  Another week of data…  Fedspeak today… And Now… Today’s Pfennig!

Equities surged around the world on Monday with investors taking heart from a likely rescue plan for U.S. automakers, a proposed U.S. jobs plan and more government stimulus measures to reverse economic decline.