While the Fed remains officially data-dependent, TD argues that its decisions are becoming increasingly influenced by political developments:
In our view, decisions by Fed officials, while still data-dependent, are increasingly turning more Trump-dependent.Given this backdrop, TD maintains a bullish outlook on the U.S. dollar, viewing any dips as buying opportunities, particularly against the euro, Canadian dollar, and British pound. They also note that positioning in currency markets has recently become more balanced, potentially setting the stage for further USD strength.
This article was written by Eamonn Sheridan at www.forexlive.com. Read More Details
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