Stronger USD for year ahead - BTMU

Analysts at Bank of Tokyo Mitsubishi suggested that we still see plenty of scope for the short end of the US curve to price in higher yields in the year ahead offering more support for a stronger US dollar. 

Key Quotes:

"The US interest rate market still remains sceptical that the Fed will even deliver rate hikes in line with their latest plans which have not yet been adjusted to incorporate the potential stimulatory impact of looser fiscal policy."

"We estimate that only around three to four hikes are currently discounted by the end of 2018."