US Dollar outlook

The US Dollar is currently happy, but for how long will this last? It is today on its 3rd day of bulls being in control and in the bigger picture there is nothing much which supports the strength in the dollar. The Trump administration is still a chaos to this day and no one really cares about a weaker dollar, the US loves it when their currency is weak. The current strength won’t hold for too long, brace yourself for a more dollar selling, this is just a good opportunity for those who had missed the sell.

The US Dollar is on day three of a rebound from fresh 2018 lows, and its lowest levels since December 2014, in part thanks to a renewed bid as a safe haven as US equity markets point to a lower open in New York. US Treasury yields continue their march higher, with the 2-year yield hitting 2.230% earlier (the highest since September 2008) and the 10-year yield hitting 2.930% (the highest since January 2014). The Euro has softened on concerns that a German coalition may not be easy to come by, especially now that the far-right AfD has overtaken SPD in the polls as the second-most popular political party in Germany.

I find it safer to be on the selling side of the dollar, anything can always happen and if you’ve been following you know very well that the happenings always tend to push the USD lower.

Leave a Reply

Your email address will not be published. Required fields are marked *