FOMC: More hawkish expectations a headwind for short US dollar – Goldman Sachs

FX

Amidst the US Federal Reserve’s (Fed) hawkish turn on the monetary policy, analysts at Goldman Sachs continue to predict a weaker US dollar going forward.

Key quotes

“Forecast a weakening for the USD, citing that its valuation is high and ongoing global economic recovery.”

“More hawkish Fed expectations and the ongoing tapering debate look likely to be a headwind to dollar shorts over the near term.”

“Put down long EUR/USD trade recommendation after the FOMC.”

Read: Federal Reserve ups the ante on inflation, growth and interest rates

Articles You May Like

US Dollar edges lower after soft PCE data
Crude oil futures settles at $69.38, down -$0.64 or 0.91%
Dollar Holds Ground Amid Quiet Holiday Forex Markets
Forexlive Americas FX news wrap: PCE inflation unexpectedly cools
Santa Claus stuffs stock market portfolios in a holiday-shortened session

Leave a Reply

Your email address will not be published. Required fields are marked *