Dutch international: The US dollar is likely to maintain relative weakness this week.
The Dutch International Group stated in a research report that the US dollar is likely to remain relatively weak. The report pointed out that the dollar started the week weak, which may be partly attributed to market positioning ahead of the expected interest rate cut by the Federal Reserve later this week. The Dutch International Group stated that the softening of the dollar is also influenced by a mild external environment. With corporate confidence holding firm and core borrowing costs expected to decrease, global stock markets continue to edge higher. Typically, this situation would lead to capital inflows into risky assets and non-dollar markets, thereby reducing investors' demand for safe-haven currencies, such as the dollar. The Dutch International Group stated that the focus of the market on Tuesday will be on US retail sales data.
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