Flash: USD theme still intact? – UBS
FXstreet.com (New York) – FX investors have generally embraced the stronger USD theme in recent months while keeping a wary eye on rising US yields − after all if financial conditions tighten too much that could stop the dollar’s advance in its tracks, notes Research Analyst Gareth Berry at UBS.
Now, not one, but two US economic reports have disappointed in quick succession. First, new home sales on Friday plunged m/m, and Monday’s durable goods orders came in soft too.
Could this be evidence that tighter financial conditions are already having a detrimental impact? Perhaps, “but our economics are not overly …read more