- Analytics
- News and Tools
- Market News
- Fed Preview: The main upside risk for the US Dollar is a revision higher in the dot plots – ING
Fed Preview: The main upside risk for the US Dollar is a revision higher in the dot plots – ING
Economists at ING analyze US Dollar’s outlook ahead of next week’s Fed meeting.
Dollar’s yield position is strong, even without a hawkish Fed
We recently stressed the upside risks for the Dollar given its still strong underlying yield position, and we are finally observing some USD buying across the board. The coming days will tell us where the FX market is positioning itself in the hawkish-dovish surprise spectrum for the Fed meeting.
We believe hawkish bets may be misplaced again this time as the Fed should reiterate a relatively optimistic narrative on disinflation and still hint at monetary easing ahead.
The main upside risk for the Dollar is a revision higher in the dot plots, but even then, we struggle to see this having a prolonged impact on FX if – as it appears likely – the Fed will continue to point to the crucial role of upcoming data releases, which are generally expected to start showing some signs of softening.
© 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.
Bank transfers
