The price of the dollar is USD
A number of economists predicted a bank ING to testify dollar The US Federal Reserve has clearly weakened over the course of this year, and experts have concluded that they believe that the US Federal Bank may abandon its strict monetary policy starting from the second half of 2023, which may coincide with the decline in US short-term Treasury bond yields.
The bank’s experts also suggested that the euro-dollar currency pair will witness a steady rise, driven by the improvement in trade exchange rates in the euro area and the accompanying decline in natural gas prices. With the reopening of China; Which may provide some downward pressure on the dollar.
However, the dollar may make profits during the second quarter, in the event that high inflation rates in the United States decline sharply.
The famous Swiss investment bank UBS has agreed UBS In this perspective, the bank made it clear that it expects the bearish pressure to continue on the US dollar during the coming period, regardless of the decision of the US Federal Reserve, even if the dollar witnessed some periods of rebound upwards, they will be short periods with weak upward momentum, and the dollar will then return to decline, as a result of For two main reasons; They:
- The US Federal Reserve is approaching the end of the monetary tightening cycle and raising interest rates, which will put downward pressure on the dollar this year.
- With the growth of comfort markets and the federal funds rate approaching 5% or at 5%, it is likely that US inflation will decline at a rapid pace during the first half of this year, which will also increase downward pressure on the dollar.
New factors support the rise of the dollar at the beginning of the week’s sessions, what are they?
In terms of trading, the euro-dollar pair recorded a decrease of about 0.44%, to settle at the level of $1.0746 per euro.
