“ I believe the greenback is due for a bounce as markets take again some FED easing implied within the futures curve. My basic FX framework: currencies are pushed by actual development differentials and political concerns over longer cycles, however within the quick time period, it’s all about taking part in relative central financial institution coverage (adjustments in nominal charges). Relying on how violent the greenback upswing will get, it may trigger some short-term injury to belongings like commodities and crypto,” Ilan Solot, co-head of digital belongings, derivatives engine at Marex, mentioned in an electronic mail.
