USD is likely to be stronger for longer – Rabobank
|In the opinion of economists at Rabobank, safe-haven flows could keep the US dollar stronger for longer. Subsequently, the euro, the pound and the yen are set to weaken against the greenback.
Cable seen back at 1.20 and potentially below on a three-month view
“While a US recession in 2023 suggests that the market will by then be pricing in Fed rate cuts, the USD could be slow to give back its gains until confidence in global growth and risky assets starts to repair. Consequently, we maintain our view that the USD is likely to be stronger for longer.”
“We retain our forecast that EUR/USD is at risk of dipping back to the 1.03 area on a three-month view. We also see cable back at 1.20 and potentially below on a three-month view and maintain our one and three-month USD/JPY forecast of 135.00.”
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.