Market news
18.01.2023, 10:43

Significant risk of a near-term bounce in USD over the next month – Standard Chartered

Economists at Standard Chartered expect a near-term bounce in the US Dollar over the next month as the Fed continues to tighten.

US government bond yields to rise towards 4%

“While technicals are not yet at extremely oversold levels, USD has declined nearly 9% since its recent peak in late 2022. History suggests markets or currencies rarely witness such large moves without being followed by a period of consolidation.”

“Over the next 1-3 months, we expect US government bond yields to rise towards 4% as we expect another 75 bps of Fed rate hikes in H1 23, which should be supportive for the USD.”

“China’s rapid reopening could lead to a slower-than-forecast decline in inflation. This could lead to a market reassessment of current expectations of a relatively rapid Fed easing in 2023, which could drive flows into the safe-haven USD, at least temporarily.”

 

© 2000-2025. 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.

AML Website Summary

Risk Disclosure

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.

Privacy Policy

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
Feedback
Live Chat E-mail
Up
Choose your language / location