The week that was
The US Dollar (USD) has traded in a volatile fashion this week, leaving the US Dollar Index (DXY) slightly positive around the 101.00 neighbourhood.
This week’s price action has been mainly influenced by the renewed tensions between the US and Iran and how that affects the Strait of Hormuz, pushing the ongoing concern about possible FX intervention by the Japanese Ministry of Finance (MoF) to the background, while expectations for more interest rate hikes by the Federal Reserve (Fed) have stayed strong.
In addition, the publication of the FOMC Minutes was kind of spot on with market expectations, leaving the eventual hawkish message largely anticipated and the Greenback’s reaction apathetic.
Fed doubles down on higher-for-longer stance
The Fed reinforced its higher-for-longer message over the past week through officials’ remarks, the June FOMC Minutes and Friday’s…
