RBC tiptoe into the political minefield of the US election. It's a critical event ahead, so we are all going to have to.
On the USD, RBC cite election uncertainty:
- “Until we have more clarity on post-election policy, our 2025 dollar profile remains pretty flat,”
Analysts paint a broad outline of scenarios under the two sides:
- If Biden wins the extension of status quo would leave the dollar little changed on political influences
If Trump wins, its “wildcard” for the US dollar:
- Trump would probably lean on the Fed to cut rates, a USD negative
- on the other hand his big tariff policy imports to the USD could be dollar positive
