12 Feb 2016
Dollar index fall has more legs to go - SocGen
Alvin T. Tan, Research Analyst at Societe Generale, suggests that since the Fed rate hike on 16 December, the DXY Index has dropped 2.4%, confounding expectations of a dollar rally.
Key Quotes
“As we highlighted in early December, the DXY index fell in the three months following the last three instances of the commencement of Fed rate hikes (1994, 1999 and 2004). The current DXY performance is in fact the worst among the four episodes in the sample. And if the previous episodes are anything to go by, the fall in the dollar could have further to go.”
Key Quotes
“As we highlighted in early December, the DXY index fell in the three months following the last three instances of the commencement of Fed rate hikes (1994, 1999 and 2004). The current DXY performance is in fact the worst among the four episodes in the sample. And if the previous episodes are anything to go by, the fall in the dollar could have further to go.”