Fundamental OverviewThe US Dollar continues to consolidate despite the higher-than-expected inflation figures and a less dovish Powell last week. The market’s pricing remained largely unchanged at three rate cuts by the end of 2025.This might be a signal that the market is now fine with the current pricing, and we will need stronger reasons to price out the remaining rate cuts. This could lead to some general US Dollar weakness in the short term.On the JPY side, the market is pricing a 47% chance of a rate hike in December and a total of 45 bps of tightening by the end of 2025. The reason for higher chances for the December hike might be entirely due to the quick Yen depreciation as that was
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