File - Some surprising effects are expected when Yellen raises interest rates.
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The longest drumroll in the 102-year history of the Federal Reserve precedes its next interest-rate increase.In preparation, here are some expected winners and losers and those whose fortunes are likely to stay steady after the Fed and its chair, Janet Yellen, raise the benchmark rate for the first time since 2006 .WIN: The greenbackThe U.S. dollar will keep rallying after the rate increase, said Daniel Tenegauzer, head of emerging market and global foreign-exchange strategy at RBC Capital Markets in New York. Other central banks are cutting rates and expanding the money supply, weighing down their currencies.DRAW: SaversWhat Christopher Whalen, senior managing director at Kroll Bond Rating Agency Inc., called the "huge wealth transfer from savers to debtors" over the last six-plus years of near-zero rates will probably continue.Savers will likely be the last to benefit from higher rates.DRAW: Mortgage ratesThe Fed is signaling that it'll move cautiously once it raises rates.Likewise, raising rates and then having to cut them again would be the Fed's "nightmare scenario" and it will do its best to avoid that, said Aneta Markowska, chief U.S. economist for Societe Generale SA.
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