FX Daily: New central bank calls, unchanged EUR/USD view
USD: Big summits this week The dollar lost some ground on Friday after a reported Bank of Japan rate check (more in the JPY section below), but in our view it remains on solid footing. We recently updated our Fed call and now expect one final hike this year. December remains more likely than October, ...
This week, the US dollar saw a slight decline following reports of a potential Bank of Japan interest rate check, but it remains relatively stable. The Federal Reserve is expected to make a final hike this year, with December being more likely than October. The euro, on the other hand, faces more challenges due to recent regional election results in Germany, but it is still influenced primarily by rate differentials and oil prices.
Both central banks are likely to maintain their hawkish stance, with only a slight easing expected. In the Japanese yen market, intervention risk is high, and the currency could return to 160.0 levels by the end of the week. For the currencies in Central and Eastern Europe, a bearish outlook persists due to ongoing geopolitical tensions, high energy prices, and a stronger US dollar.
Written by urgent.news from Hellenic Shipping News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
