- Analytics
- News and Tools
- Market News
- Investors look to be playing it safe by choosing carry trade strategies in HUF, MXN and INR – ING
Investors look to be playing it safe by choosing carry trade strategies in HUF, MXN and INR – ING
Major FX pairs look to have settled into early-year ranges. Economists at ING analyze FX markets.
If in doubt, seek carry
January and February are typically good months for the Dollar, and our call is for patience rather than jumping on the next leg of the Dollar bar trend just yet. But the overall environment tends to support more range-bound Dollar trading than any aggressive reversal higher in the Dollar just yet.
We doubt US data will move markets today, but as usual, we will be interested in what the NFIB small business survey has to say about activity, employment, and pricing intentions. It is hard to see DXY trading outside of Friday's 101.90 to 103.10 range today – a range that could well define the entire week.
The outperformers this year are the Hungarian Forint, the Mexican Peso, and the Indian Rupee. What do they have in common? They are the highest-yielding currencies in their respective trading blocs. With cross-market volatility remaining fairly subdued it is clear that carry trade strategies will have some enduring appeal. The bigger question may be in which currency to fund them.
© 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.
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
