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23 Jun 2015
USD expected to pick up pace in the medium term – Westpac
FXStreet (Edinburgh) - In the opinion of strategists at Westpac, the greenback faces a neutral bias in the near term while potential upside lies ahead in the longer run.
Key Quotes
“The USD may not be trading with a great tone but the milieu looks more supportive each passing day”.
“The cadence of the US data should continue to improve as signaled by the formal trough (at least according to our modeling work) in our US surprise index”.
“Room still exists for a Fed "September lift-off fuelled USD rally" with Sep tightening odds (around 40%) seemingly too low in light of comments from reasonable and centrist voters like Powell and Williams in favour of Sep hikes”.
“Bullish confirmation in May has failed to follow through as price steps lower in June and short term/medium term momentum hold a mild negative bias. May/June range holding”.
Key Quotes
“The USD may not be trading with a great tone but the milieu looks more supportive each passing day”.
“The cadence of the US data should continue to improve as signaled by the formal trough (at least according to our modeling work) in our US surprise index”.
“Room still exists for a Fed "September lift-off fuelled USD rally" with Sep tightening odds (around 40%) seemingly too low in light of comments from reasonable and centrist voters like Powell and Williams in favour of Sep hikes”.
“Bullish confirmation in May has failed to follow through as price steps lower in June and short term/medium term momentum hold a mild negative bias. May/June range holding”.