Economists at Commerzbank analyze why the market has not finally decided whether we saw a decisive reversal last week with the Fed decision which would justify a significant re-valuation of the US Dollar.
The unswerving USD bulls may be pointing out that the FOMC members still do not have rate cut expectations that are as aggressive as those held by the market. But isn’t that always the case? Isn’t it the case that the FOMC members adjust their dots to new realities step by step? Does that not always mean that all those who have to make realistic Fed projections are forced to extrapolate the changes to the dots?
In this sense, the market is not exactly carried away only because it once again undercuts the dots that have already been corrected to the downside. On the contrary, anyone who does not participate in this extrapolation of the dots’ momentum might be excessively reactionary.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.