Month-end hedging or rebalancing flows typically tend to pick up from the spot date (in this case, today) until the last day of the month itself. To start off the year, bank models appear to be signaling for mild but broad-based selling in the dollar.
Credit Agricole's model suggests that dollar selling is on the cards with the strongest signal being against the Swedish krona. The banks' corporate flow model also points to euro buying going into month-end as well.
That's something to keep in your back pocket just in case when considering the price movements in the days ahead. This could also add more complications to any Fed-related flows before the policy decision on Wednesday.
