Lower yields may undercut support for the USD in the short run – Scotiabank
Source Fxstreet
The US Dollar (USD) remains range-bound in broad terms and is trading mixed on the session. Economists at Scotiabank analyze Greenback’s outlook.
Short-term technical risks tilted to the downside
Gains in the US Dollar Index (DXY) peaked around 103.80 on Monday, equating to a retest of last week’s high. The turn lower in the index tilts short-term technical risks to the downside and a test of the 103.00 area but whether the markets can muster the momentum to push lower ahead of Wednesday’s FOMC decision remains to be seen.
US yields have drifted a little lower following Monday’s announcement from the US Treasury of a smaller-than-expected quarterly borrowing requirement; lower yields may undercut support for the USD generally in the short run.
Disclaimer: For information purposes only. Past performance is not indicative of future results.
Recommended Articles
Judgment on the Fed's December Rate Cut and 2026 Monetary Policy Trend: Identifying Opportunities in the U.S. Stock Market1. IntroductionSince U.S. stocks pulled back from their late-October highs, they have staged a rebound after hitting a cyclical low in mid-to-late November. Currently, the S&P 500 has largely recouped
1. IntroductionSince U.S. stocks pulled back from their late-October highs, they have staged a rebound after hitting a cyclical low in mid-to-late November. Currently, the S&P 500 has largely recouped
Gemini integrates Ripple's RLUSD on XRPL and secures a CFTC license for prediction markets, though XRP price struggles at $2.02 despite strong ETF inflows.
TradingKey - Fed Rate Cut Fails to Buoy Bitcoin, Signaling Bull Market's End?Early on December 11,the Federal Reserve delivered an expected 25 basis point rate cut.Bitcoin (BTC) briefly surged to $94,
Gold Price Forecast: XAU/USD drifts higher above $4,200 as Fed delivers expected cutGold price (XAU/USD) gains momentum to around $4,235 during the early Asian session on Thursday. The precious metal extends its upside after the US Federal Reserve (Fed) delivered an expected third consecutive interest rate cut and maintained its outlook for just one cut in 2026.
Gold price (XAU/USD) gains momentum to around $4,235 during the early Asian session on Thursday. The precious metal extends its upside after the US Federal Reserve (Fed) delivered an expected third consecutive interest rate cut and maintained its outlook for just one cut in 2026.
Gold Price Steady Climb and the Sudden Surge of Silver and Copper: Will Their Bull Run Extend Into 2026?TradingKey - In 2025, gold prices steadily climbed, posting a stunning 56% gain; silver's rally was even more potent, surging over 100% year-to-date and breaching the $61 mark. Since November, copper
TradingKey - In 2025, gold prices steadily climbed, posting a stunning 56% gain; silver's rally was even more potent, surging over 100% year-to-date and breaching the $61 mark. Since November, copper
