US Dollar at the Mercy of External Monetary Policy Trends


US Dollar at the Mercy of External Monetary Policy Trends

Fundamental Forecast for the US Dollar: Neutral

  • US Dollar continues to suffer even as Fed rate outlook seemingly improves
  • Selloff may reflect rush to participate as new tightening cycles get underway
  • BOC rate decision, UK CPI and Australian jobs data in the spotlight ahead

What are the DailyFX team’s top trading ideas for 2018? Find out here!

The US Dollar is starting 2018 much as it did the previous year, with a long losing streak. The greenback has now fallen for five consecutive weeks against its major counterparts. Interestingly, this is happening even as Fed rate hike bets continue to swell.

Indeed, the priced-in tightening path implied in Fed Funds futures has steadily steepened since September. It now points to a cumulative 60 basis point gain in the next 12 months. That’s two rate hikes, and maybe a third. Investors put the probability that the first of these happens at the March FOMC meeting at 88.2 percent.

That puts the markets’ outlook and that of Fed policymakers broadly in line. Furthermore, central bank officials seemingly never miss an opportunity to stress that they favor slow and cautious stimulus withdrawal, hinting that a change in this status quo position is unlikely.

Against this backdrop, the greenback’s losses seem to reflect external factors, with capital flows chasing opportunities to get in early as other top central banks begin to dial back accommodation. The rush to capture would-be policy pivots from the BOJ and the ECB was clearly on display last week.

This means that the currency’s path next week will probably reflect developing yield prospects outside of the US. A slowdown in UK CPI may be helpful in that it keeps the BOE on the sidelines but a cheery tone from the BOC and a strong Australian jobs report that shifts up RBA rate hike bets may trigger selling.

online futures trading ,forex trading australia ,forex trading uk ,forex daytrading ,online foreign exchange trading ,forex australia ,forex online broker ,foreign currency exchange trading ,currency stock trading ,trading options ,trade currency online ,cfd trading ,online forex trading platform ,forex world money exchange ,forex t ,currency trading account ,forex trading tools ,fx currency trading ,forex handel ,online currency trading ,forex trading software ,forex stock trading ,online trading platforms ,currency trading charts ,forex cfd ,best online stock trading ,trading platforms ,forex trading brokers ,foreign currency trader ,broker forex trading ,automatic forex trading ,forex trading how to ,online stock trading ,stock market trading ,currency trader ,for ex trading ,fx trading ,trading in currency ,best online trading ,online broker ,online currency trader ,forex trend trading ,best forex trading platform ,currency trading forex ,trading stocks ,best forex trading software ,best forex trader ,فوركس كوم ,forex trading online ,option trading software ,day trading online ,day trading software ,metatrader broker ,forex on line ,forex trading services ,start trading forex ,forex broker ,trading currency ,forex market trading ,forex demo trading ,forex trading platforms ,currency trading online ,stock trading software ,forex introducing broker ,cfd ,cfd forex ,online trading software ,trading online ,trading on line ,fxtrading ,forex swing trading ,i forex trading ,traders forex ,stock trading ,forex trading account ,make money forex ,trade forex online ,auto forex trading ,day trading forex ,online forex trader ,trading the forex market ,online trading currency ,currency trading platforms ,online fx ,currency exchange trading ,stock trader ,forex trading charts ,automated currency trading ,fx online trading ,day trading courses ,forex trading today ,practice forex trading ,forex platforms ,day trade forex ,forex brokers ,forex trading website ,currency trading ,futures trading software ,fx account ,forex uk ,online trading forex ,forex traders ,learn currency trading ,trading the forex ,best forex platform ,forex trading systems ,options trading ,foreign currency trading ,software forex trading ,online trading ,what is fx trading ,managed forex accounts ,currency broker ,how to trade currency online ,forex metatrader ,forex trading sites ,forex day trading ,trade fx ,forex trading programs ,metatrader 4 ,futures trading system ,forex spread ,forex platform ,لفوركس ,stock market trading software ,forex trading ,fx trading account ,trade online ,forex trading news ,day trading system ,forex trading mentor ,daytrading ,money trading online ,forex trading demo ,forex trading made easy ,forex live trading ,trade on forex ,forex practice account ,easy forex trading ,forex robot trading ,best forex software ,forex trading techniques ,fx options trading ,currency market trading ,trading commodities ,forex demo account ,online forex brokers ,trading on forex ,mobile forex trading ,currency day trading ,forex charting software ,fx trading station ,online day trading ,forex currency trading ,forex online trading ,4 x trading ,forex news trading ,currency trading brokers ,forex trading broker ,demo forex ,forex trading club ,fx trading forex ,forex trading simulator ,forex trading secrets ,stock market forex ,trading with forex ,learn how to trade forex ,forex trading market ,automated forex trading ,forex ecn ,forex share market ,metatrader ,stock trading system ,forex trading wiki ,forex mini account ,forex account ,forex trading program ,foreign exchange trading ,currency trading courses ,best forex broker ,forex trading times ,currency trading market ,fx forex trading ,learn to trade forex ,how to trade forex online ,us forex com ,mt4 forex ,mt4 ,how to forex trade ,foreign exchange trader ,trade foreign currency ,forex trading analysis ,money trading forex ,forex trading system ,forex malaysia ,current forex ,forex exchange trading ,forex trader ,forex mt4 ,free forex trading ,automated trading forex ,www forex com pk open market ,automated forex trading software ,how to trade foreign currency ,forex trade signals ,forextrading ,metatrader 5 ,forex affiliate ,best broker forex ,foreign exchange broker ,forex trading advice ,forex dealing ,ecn forex ,forex trading forum ,live forex trading ,commodity futures trading ,trading foreign currency ,valuta trading ,online forex trading ,how to trade fx ,learn forex trading ,demo forex trading ,forex trading companies ,forex trading for beginners ,where to trade forex ,currency trading software ,trading software ,forex trading currency ,foreign exchange currency trading ,forex automated trading ,learn forex trading online ,spot forex trading ,forex trading reviews ,investing forex news ,best online forex trading ,online forex broker ,online forex trading course ,forex trade online ,stock day trading ,online commodity trading ,what is a currency trader ,day trading ,forex broker comparison ,trading system forex ,forex futures ,forex trading courses ,foreign exchange market trading ,forex trading methods ,forex easy ,gold trading ,forex trading strategies ,forex system trading ,broker forex ,futures trading ,trading futures ,how to start trading forex ,how to trade forex ,fx options ,4x trading ,make money forex trading ,forex demo ,trade and forex ,currency trading broker ,how to trade in forex market ,how to forex trading ,best forex traders ,fx trader ,forex charting ,hedging forex ,automated trading ,forex market maker ,foreign exchange online trading ,forex trading signals ,forex hedging ,forex trading information ,forex profit ,trading forex ,fx quotes ,forex company ,forex managed accounts ,foreign exchange trade ,forex trading strategy ,currency forex trading ,forex arbitrage ,share trading ,www forex trading com ,forex tv ,how do you trade forex ,online trading account ,currency futures trading ,online share trading ,trading strategies forex ,forex trading school ,automated forex software ,forex trading seminar ,market trading ,trade market ,forex investment ,stock market day trading ,forex trading for dummies ,forex real time ,forex trading hours ,forex strategie ,forex auto trading ,cmc forex ,trading account ,فوريكس ,online forex market ,what is forex trader ,forex trading course ,foreign currency trading online ,forex global market ,forex trading com ,gold forex ,forex how to ,trading foreign exchange ,forex currency market ,free forex trading course ,forex online ,forex online training ,the forex market ,currency trading for dummies ,trading in forex ,action forex ,forexworld ,forex megadroid ,forex trading what is it ,online forex trading companies ,automated forex trading system ,x forex ,top forex brokers ,how to invest in forex market ,forex trading robot ,reuters fx ,forex broker reviews ,swiss forex ,forex day trading strategies ,learn day trading ,forex futures trading ,stock trading strategies ,day trading stocks ,forex charts live ,live forex charts ,online forex charts ,best forex ,currency options trading ,how to trade currency ,business forex ,forex learning ,forex market today ,forex charts online ,best forex trading system ,mercado forex ,spread trading ,forex live charts ,how to trade on forex market ,forex training course ,forex stock market ,live forex market ,acm forex ,day trader ,earnforex ,site forex ,forex software ,forex historical data ,trading courses ,currency trading strategies ,forex pros ,how trade forex ,forex made easy ,forex trading basics ,trading in forex market ,spread forex ,trade ,learning forex trading ,forex for beginners ,forex trading training ,forex pairs ,commodity trading ,currency trading basics ,forex margin ,forex training ,trading en forex ,4x exchange ,best fx ,stock forex ,forex course ,system forex ,forex trading alerts ,interbank fx ,how to do forex trading ,forex trading indicators ,currency trading site ,learn forex ,forex download ,forex market ,mini forex ,forex canada ,forex charts ,online money trading ,forex system ,how to trade in currency market ,day trading strategies ,oanda forex ,forex pip ,forex gold ,fibonacci forex trading ,forex mentor ,forex price ,forex quotes ,forex seminar 

Source link