DBS Bank: The Federal Reserve's interest rate cut of 25BP this week may cause the dollar to rise reflexively
2024-09-16 11:23:54
DBS FX strategist Philip Wee said in a research note that if the Federal Reserve cuts interest rates by 25 basis points at this week's FOMC meeting, rather than the 50 basis points reflected in the futures market, the dollar index could experience a reflexive rebound. However, he added that going into late 2024 and 2025, the dollar index could weaken further, falling below the 101-107 range seen since December 2022.
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