Morning Call: Ultra-dovish Fed prompts broad risk-off
The extent of the Fed's circumspection at yesterday's policy meeting has sent the US dollar and equities lower, while the usual safe havens – gold and the yen – are poised for gains.
Head of FX Strategy
Summary: An old saying goes that nothing cures low oil prices faster than low oil prices, and the same is currently true in forex markets. Ultimately, nothing will cure a strong US dollar more quickly than further dollar strength because the world simply can’t afford a stronger USD for long – and if it can’t, it won’t.