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Flash: USD to lose momentum into Sept - Westpac

FXstreet.com (Barcelona) – According to Westpac FX Strategist Sean Callow, USD should lose momentum into September on waning QE ‘tapering’ this following month, especially after the dismal July new home sales and durable goods orders.

Key Quotes

“The FOMC still seems likely to proceed with the muchdiscussed reduction in QE but it could be only a modest adjustment, accompanied by soothing language about maintaining loose policy.”

“We wouldn’t be pushing the idea of USD weakness very far, given the vital Aug employment report is little over a week away, but the fear of Fed action should at least not be a great weight …read more