XTB analyst Hani Abuagra said in the report that if the US economic growth data for the third quarter falls short of expectations, the US dollar will be very vulnerable. Any sign of economic cooling may reinforce expectations that the Federal Reserve will cut interest rates further next year, thereby lowering yields and further weakening the US dollar. The decline in liquidity at the end of the year and recent changes in global monetary policy may increase this sensitivity. In particular, the Bank of Japan's recent rate hike may encourage capital inflows into the yen, further depressing the dollar if the US economic data disappoints.

Zhitongcaijing · 2d ago
XTB analyst Hani Abuagra said in the report that if the US economic growth data for the third quarter falls short of expectations, the US dollar will be very vulnerable. Any sign of economic cooling may reinforce expectations that the Federal Reserve will cut interest rates further next year, thereby lowering yields and further weakening the US dollar. The decline in liquidity at the end of the year and recent changes in global monetary policy may increase this sensitivity. In particular, the Bank of Japan's recent rate hike may encourage capital inflows into the yen, further depressing the dollar if the US economic data disappoints.