TD Securities is expecting the US dollar to weaken in Q2 and Q3 of 2024, and risk trades to strengthen. Analyss at the bank cite:

  • Its indicators suggest the global economy is accelerating
  • US data trends are strong
  • The Federal Reserve will eventually cut rates
  • Global financial conditions are also easing
  • China looks more stable
  • Governments are spending in a key election year

“This backdrop is risk positive and dollar negative”

Powell dove
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'Eventual' Fed easing leaves lots of room for maneuver.