Trump distractions for USD - AmpGFX
|The USD has continued to retreat faster than we had expected this year and has more than reversed it gains against most countries since the more hawkish than expected FOMC meeting on 14 December notes Greg Gibbs, Director at Amplifying Global FX Capital.
Key Quotes
“It is evident that some of the euphoria for US economic growth that followed the election of Trump on 8 November has dissipated. This may reflect shifting perceptions on the priorities of Trump and the ongoing combative style his presidency promises. Media coverage of Trump in the USA has focused more on his Twitter responses to various distractions unrelated to economic policy. Corporate tax reform and infrastructure spending appear to have taken a back seat to repealing and replacing Obamacare, micro-commentary on specific companies, border tax, and building a wall on the Mexican border.”
“It is beginning to look like the Trump agenda will be bogged down in issues that do little to support growth and economic confidence. This may be dampening the US stock market performance, weighing on yields and the USD.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.