USD regains some ground in light trade as markets wait for Powell's comments. Economists at Scotiabank analyze Greenback’s outlook.
What does the USD need from Powell’s comments to remain better supported?
The USD is steadying after Wednesday’s reversal off the highs against the majors. The news flow is light, however, and the USD rebound evident so far today may simply reflect markets refusing to overly commit on positioning ahead of Powell’s Jackson Hole comments on Friday.
Markets are barely priced for anything more than 5.50% at the moment, let alone 6%. This perhaps gives us some sense of what the USD needs from Chairman Powell’s comments to remain better supported. Firstly, USD bulls will want to hear that September’s FOMC is ‘live’ (or perhaps get a strong hint that pricing needs to shift more towards a hike) and secondly, that rates are liable to remain restrictive for an extended period. Without some hawkish messaging lifting rates and boosting spreads, the USD may struggle to gain more ground for now
风险提示：本文所述仅代表作者个人观点，不代表 Followme 的官方立场。Followme 不对内容的准确性、完整性或可靠性作出任何保证，对于基于该内容所采取的任何行为，不承担任何责任，除非另有书面明确说明。
暂无评论。 来发表第一条观点吧。