TechFlow, August 20 — According to Jinshi Data, the dollar has recently stabilized, but strategists at Lombard Odier expect further weakening and have downgraded their outlook from neutral to negative. U.S. inflation has slightly risen, while companies are neither hiring nor laying off at scale, and market consensus is gradually aligning with the firm's expectation of three Fed rate cuts this year.
Strategists Luca Bindelli and Patrick Kellenberger stated in a research report that lower U.S. interest rates will erode the dollar's yield advantage. Additionally, reduced hedging costs due to lower U.S. policy rates, along with non-extreme positioning among short-term investors, are also dampening demand for the dollar.
Add to Favorites
Share to Social Media
