Fx News

USD/JPY: Shrinking odds for a drop to 143.00 – UOB

money transfer online, send funds, currency exchange concept

Economists at Danske Bank talk about the probability of broad-based world coordinated FX intervention with the intent to weaken the USD. In their view, FX intervention to weaken the USD is presently now not aligned with US incentives to deliver down inflation.

Low likelihood of coordinated USD FX intervention
“We nonetheless assume the likelihood of broad-based international FX intervention to weaken the USD is very low; shut to zero percentage by way of end-2022 and 10% through end-2023.”

“A vital situation for coordinated G10 FX intervention is the US assisting such action. As lengthy as US inflation pressures are high, we do now not anticipate such support.”

“We warn towards concerning FX intervention as an fantastic device at this stage. In our view, current FX strikes are basically justified, FX intervention would solely enlarge market volatility and a weaker USD solely provides inflation pressures.”


Related posts
Fx News

USD/CAD Price Analysis: Sellers attack 1.3660 support confluence to open 100-pip fall

USD/CAD holds decrease floor close to intraday backside at some point of the first loss-making day…
Read more
Fx News

GameStop’s premarket surge has investors wondering if squeeze is back on

GME inventory is up on Wednesday after the gaming retailer swung to its first underlying internet…
Read more
Fx News

US Dollar Index Price Analysis: DXY bears appear well-set to visit 102.65-55 zone despite pre-Fed inaction

US Dollar Index grinds close to five-week low, probes bears after four-day downtrend. Bearish MACD…
Read more
Become a Trendsetter
Sign up for Davenport’s Daily Digest and get the best of Davenport, tailored for you.

Leave a Reply

Your email address will not be published. Required fields are marked *