Economist
Simon Smith


The dollar looks to be in control in the early part of the week. This is evident on EURUSD where we are not that far from the lows see mid-March of this year at 1.0458 should the current downward trend be continued. The move on USDJPY puts it close to last week’s high of 123.60, whilst USDCAD is slowly working its way towards the late Sep high of 1.3457. The latest BAML Fund Manager survey showed long USD as the most perceived crowded trade at present, on the basis of the anticipated Fed tightening and expected further measures from the ECB early next month.