USD: a pause in the Fed's pricing policy | article

The US dollar remains at stake as the agreement with Mexico has led the market to further limit the Fed's accommodative prices, repressing expectations of imminent rate cuts, which would translate into higher yields. US Treasury and, therefore, support from the dollar. Nevertheless, it is unlikely that investors will alter the current defensive / softening Fed prices until we clarify the China-China trade agreement later this month (the G20 meeting of 28 and June 29 being the center of concern). Stable US Treasury yields suggest for the moment that the dollar's weakening against the G10 FX will be limited this week, as a higher FX beta (New Zealand dollar, Australian dollar or Swedish krona) is exposed to potentially more global data. low, which may not be offset for the moment by the Fed's more accommodating prices (unlike the last two weeks).