USD: Supported by Fed rate hike bets

November 9, 2015

Imre Speizer, Senior Markets Strategist at Westpac, suggests that the USD index’s price action remains very constructive.

Key Quotes

“Fed hike odds now sit at 80%, an elevated reading for a data dependent Fed that will not make up its mind until closer to a meeting that is still a good five weeks away, although it would probably take a lot to offset the recent strong US payrolls report. That said, our impression is that USD positioning is light, markets having trimmed their USD longs and would still prefer to buy dips in the USD near term.”

“There are upside risks to retail sales, and let’s not forget the small matter of the 3 Dec ECB meeting. Draghi appears to be vacillating in recent days on the question of whether the ECB will ease policy further but until that meeting is out of the way markets will likely err on the side of pricing in additional easing.”

“Oct retail sales is the key release in an otherwise typically quiet (shortened by Veterans Day) post-payrolls US schedule this week, the other less noteworthy releases being the JOLTS survey, PPI, prelim Uni Michigan sentiment. Partial indicators flag some upside risk to Oct retail sales, auto sales coming in above expectations and chain store sales firming notably through the month.”

“Possibly of more importance for markets will be the lineup of Fed speakers: Rosengren, Bullard, Lacker, Evans, Dudley and Mester.” 

Publication source
OctaFX information  OctaFX reviews

September 23, 2016
Risk rating
The market is in need of a new narrative. The Fed meeting in December is too far off and for now, the US election is not something that entices excitement. With central banks on hold, markets are pushing the envelope in terms of risk...
September 23, 2016
Greenback regains some ground
On Friday, the evergreen buck regained some ground against other key currencies, as markets kept digesting the Fed’s latest policy decision...
September 23, 2016
Dollar rebounds slightly as precious metals are in a hot zone
The US Dollar rebounds after a substantial selloff led by the FOMC decision to leave the interest rate unchanged. The Dollar index, which tracks the US currency against major peers, recoiled with support at a 95.00 level on Thursday, adding 0.05% to the 95.36 price in the early Friday session...

Grand Capital Rating
Fort Financial Services Rating
Vantage FX Rating
OANDA Rating
Tickmill Rating
FOREX.com Rating

OptionTrade Rating
OptionFair Rating
OptionsXO Rating
Banc De Binary Rating
IQ Option Rating
OptionRally Rating