Dubai – Masaader News
US dollar edged toward a one-week high as the trade tensions between China and the United States prompted investors to seek shelter in the greenback, according to Reuters.
While U.S. money markets are pricing in roughly two rate cuts by January 2020 and the bond yield curve inverted further overnight, signaling rising recessionary risks for the world’s biggest economy, demand for dollars show no signs of abating.
“The strength in the dollar is surprising given that markets are now expecting multiple rate cuts by 2020,” Commerzbank FX strategist Ulrich Leuchtmann said