DXY to pop through 104.50 towards 105.00 – ING
Source Fxstreet
The US Dollar (USD) is no rush to sell off, economists at ING say.
Short-dated interest rate differentials are moving in favour of the Dollar
As we head into the end of the quarter, one of the defining narratives remains the normalisation of monetary policy in the G10 space and the current signals that the Fed may be a late arrival. This follows last week's rate cut in Switzerland, Wednesday's Riksbank meeting near-promising a rate cut in May or June, and comments from the RBNZ Governor that New Zealand was preparing to normalise policy. As a result, short-dated interest rate differentials are moving in favour of the Dollar.
It is hard to speculate against the Dollar in the G10 space, and barring any significant quarter-end rebalancing, it feels like the greater risks are DXY popping through 104.50 towards 105.00.
Disclaimer: For information purposes only. Past performance is not indicative of future results.
Recommended Articles
As of the Asian session on August 19, gold prices (XAUUSD) maintained a weak rebound intraday, rising about 0.2% on the day to trade near $4,340. Earlier on Tuesday, gold prices fell near
West Texas Intermediate (WTI) oil price extends its gains for the fourth consecutive day, trading around $84.80 per barrel during the Asian hours on Wednesday.
WTI consolidates below $84.50, two-week top as bullish bias remains amid Hormuz standoffWest Texas Intermediate (WTI) – the benchmark US Crude Oil price – extends its consolidative price move through the first half of the European session and currently trades near the $84.25-$84.30 area, close to a two-week high set earlier this Tuesday.
West Texas Intermediate (WTI) – the benchmark US Crude Oil price – extends its consolidative price move through the first half of the European session and currently trades near the $84.25-$84.30 area, close to a two-week high set earlier this Tuesday.
Australian Dollar gains as US Dollar struggles amid fading Fed rate hike betsAUD/USD extends its gains for the third successive day, trading around 0.7110 during the Asian hours on Tuesday. The currency pair continues to appreciate as the US Dollar (USD) remains subdued amid fading expectations for further rate hikes by the Federal Reserve (Fed).
AUD/USD extends its gains for the third successive day, trading around 0.7110 during the Asian hours on Tuesday. The currency pair continues to appreciate as the US Dollar (USD) remains subdued amid fading expectations for further rate hikes by the Federal Reserve (Fed).
As of the European session on August 17, gold prices (XAUUSD) were trading above $4,400, up about 0.7% on the day and reaching an intraday high of $4,416.43, extending last Friday's gains
Related Instrument
