FXStreet (Edinburgh) – According to the FX Strategy Team at Societe Generale, the greenback could see its uptrend resumed in the near to medium term.
Key Quotes
“Mr Dollar went too far too fast in Q1 and suffered a significant setback this spring. Call it a mid-life crisis if you will, but it’s not a very serious one. The dollar has recovered only half of the ground lost in the ten years to mid-2011; it has further to go”.
“After a poor start this year, US economic surprises are finally heading north, making it easier for the Fed to raise rates in September”.
“Monetary policy divergence will support further dollar strength. As valuations get more stretched, there will bumps and corrections along the way”.
(Market News Provided by FXstreet)