Jeremy Stretch
Jeremy Stretch
against course poor pound pressure rate run seen spread toward
We've seen the rate spread narrowing over the course of 2005, and sterling has had a poor run against the dollar. The pound could come under pressure toward the end of the first half.
dollar early euro fall interest start suggesting
Interest rates, I think, will start to fall in the U.S. in 1999, suggesting that the Euro will outperform the dollar in the early stages.
backdrop greenspan growth outlook positive rate time
At the same time we had Greenspan reinforcing that the U.S. growth backdrop and rate outlook are positive for the dollar.
cable continue fed half hike lower might recovery second year
Cable (sterling/dollar) could go lower in the first half of the year as we think the Fed will continue to hike rates, but in the second half we might see a recovery in sterling.
korea likely news north positive
The North Korea news is also likely to be positive for the dollar.
crossover fed hike inevitably market pressure
The Fed is going to hike more than the market is anticipating. A crossover would inevitably put more pressure on the pound.
downside euro reason riots scope sell
There's scope for the euro on the downside especially if the riots continue. It's another reason to sell the euro.
background coming deflation durable economic investors large looks move positive recovery seeing
It's a positive background for the yen, and investors are coming back in after a large move yesterday. The economic recovery looks pretty durable and we'll be seeing the end of deflation soon.
bulls euro
I think euro bulls were disappointed by the ECB,
coming continue data higher positive rates strong talk
If we continue to see strong data coming through talk of higher rates will be perpetuated. Sterling has a pretty positive background.
continues dollar favor fed highly hikes japanese rates short time view yield zero
We're still going to get Japanese rates at zero for some time yet. The Fed continues to underpin the view that more rate hikes are highly probable, and yield premiums favor the dollar in the short term.
forced lower
Ultimately, the ECB will lower rates, ... I don't think they wanted to be forced into doing it.
forced lower
Ultimately, the ECB will lower rates. I don't think they wanted to be forced into doing it.
case dollar economic few good momentum past run seen weeks
We've seen a very good run in the dollar but it's been the case in the past few weeks that it hasn't been able to make much momentum on the back of what's been pretty good economic data,