2023 closed out as the second year of central bank monetary tightening with rate hikes not as substantial as in 2022 and most central banks indicating that these tightening cycles are coming to an end. The US dollar weakened sharply toward the end of last year after the final FOMC meeting of the year intensified speculation on a sooner start to Fed rate cuts.
In this video, Derek Halpenny, Head of Research, Global Markets EMEA & International Securities, notes that simply linking Fed rate cuts this year to a weaker US dollar path is too simplified. He expects upside risks for the USD in 1H of this year to shift to downside risks in 2H. Watch Derek's video for more insights. Watch Derek's video for more insights.
Key point
- 00.20 - US Dollar Outlook & Global Challenges
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