US Dollar is rising ahead of the presidential debate, continuing its strength despite ongoing dovish Fed easing expectations.
Outcome of tonight's debate between Vice President Harris and former President Trump might shake the USD’s ground.
Dovish bets on the Fed might limit the USD’s upside.
The US Dollar Index, a measure of the USD’s value against six other currencies, is firm ahead of tonight’s presidential debate. Markets are likely to react to the debate outcome, with analysts expecting volatility in currency markets depending on the perceived winner. Market focus is set on Wednesday’s Consumer Price Index (CPI) inflation figures.
Despite positive economic indicators, the market may be exaggerating its expectations for aggressive monetary policy easing. The current growth rate exceeds the long-term trend, signaling that markets may be overestimating the need for such measures. However, a 25 bps cut would seem to be a done deal.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
Hot
No comment on record. Start new comment.