Dollar does not have to rally too far on any Fed remarks seen as less than dovish – ING

Source Fxstreet

The US Dollar (USD) is the best performing G10 currency in the year to date as the market reassesses the outlook for Fed rate cuts this year. Economists at ING analyze Greenback’s outlook. 

Dollar bears require patience

We feel it is a little too early for the Fed to pump more air into the easing narrative and would probably prefer to let the data do the talking. However, the conviction is there in markets that the Fed and other major central banks will be in a position to cut later this year. This suggests that the Dollar does not have to rally too far on any Fed remarks seen as less than dovish.

For the time being, we see no reason to argue with seasonal factors which normally keep the Dollar strong through the early months of the year.

We retain a 1.0800 EUR/USD target for the end of the first quarter but expect a clearer upside path to develop through the second quarter once the first Fed cut looks imminent.

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Understanding the first crypto market crash of 2024 and what to expect nextThe 365-day MVRV ratio suggests that this crash may be just the beginning. If the ETF is rejected before the second quarter of 2024, it could trigger a sharp correction.
Author  FXStreet
Jan 04, Thu
The 365-day MVRV ratio suggests that this crash may be just the beginning. If the ETF is rejected before the second quarter of 2024, it could trigger a sharp correction.
placeholder
Natural Gas sinks to pivotal level as China’s demand slumpsNatural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
Author  FXStreet
Jul 01, Mon
Natural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
placeholder
Ethereum ETFs Debut: BlackRock Reigns With $260M Inflows, Grayscale BleedsNine spot Ethereum ETFs commenced trading on the US stock market on Tuesday, marking a pivotal moment for the crypto industry following the Securities and Exchange Commission’s (SEC) green light on Monday.
Author  NewsBTC
Jul 25, Thu
Nine spot Ethereum ETFs commenced trading on the US stock market on Tuesday, marking a pivotal moment for the crypto industry following the Securities and Exchange Commission’s (SEC) green light on Monday.
placeholder
Sooner Fed rate cuts may not save economy from recessionInvesting.com -- Sooner Federal Reserve rate cuts may not be enough to stop the central bank from falling behind the curve, throwing the economy and the current stock bull market into a wreck. The ris
Author  Investing.com
Yesterday 01: 13
Investing.com -- Sooner Federal Reserve rate cuts may not be enough to stop the central bank from falling behind the curve, throwing the economy and the current stock bull market into a wreck. The ris
placeholder
Ethereum Whales Rapidly Accumulate ETH Amid Price DeclineEthereum whales have been busy in the market, as on-chain data shows that these investors have been heavily accumulating the second-largest crypto token by market cap.
Author  NewsBTC
Yesterday 01: 17
Ethereum whales have been busy in the market, as on-chain data shows that these investors have been heavily accumulating the second-largest crypto token by market cap.
goTop
quote