The Dow Jones Industrial Average (DJIA) climbed 0.6% on Friday, settling near 51,200 and outperforming the rest of the US majors on a day when the tech-heavy Nasdaq Composite slipped into the red.
MUFG analysts Lin Li, Michael Wan, Lloyd Chan and Khang Sek Lee argue that firmer US inflation and resilient labour markets underpin a higher-for-longer global rates backdrop, supporting the US Dollar.
Brown Brothers Harriman’s Elias Haddad reports that EUR/USD briefly dipped toward 1.1500 after the ECB decision before rebounding on the US-Iran breakthrough. Haddad expects EUR/USD to edge lower and stabilize closer to 1.1400 as US growth outperforms the Eurozone.