Wild fluctuation and uncertainty in markets crowned the U.S. Dollar as a safe-haven
August came with havoc to equity and bond markets; DJIA had its first loss in 3 months
Other central banks exercised easing policies only re-strengthening the buck by 0.5% overall
Political battles brewing in the U.K. and Italy sank Euro and Pound to 2017-lows
Mexican Peso and Brazilian Real were worst performers as the Amazon and economy burn
China and the U.S. sought to take a friendlier tone in the midst of tariff escalation at the G-7 meeting while reassuring world leaders
Tempus’ view
Fed could hesitate in lowering interest rates in September, buck likely will swing, but not gain
Lack of detail or advancement in trade talks will continue weighing on global markets
Elections or a second Brexit referendum in the U.K. could materialize ahead of October
Canadian Dollar and Mexican Peso will mount a comeback if USMCA is ratified, oil climbs, trade situation improves
Hard to make predictions in a world with daily changes in mood and intentions. As politics and the economy intertwine, normal FX dynamics are adjusting as well as digesting
Interested in reading more? Enter your name and email to dive into the details.
