Is it Too Late to Buy Dollars? – IIC Research
By: Ansar Anis Bhesania,
Ismail Iqbal Commodities (Pvt.) Ltd.
The Federal Reserve is committed to ending Quantitative Easing this year and while rates will still remain below normal levels, the process of ending QE and the buildup of expectations for the first rate hike should drive U.S. rates even higher, providing additional upside momentum for the greenback. We believe the recent move in the greenback marks only the beginning of the next leg higher in the dollar with opportunities to buy the buck against other currencies such as the euro for a longer-term play and the Canadian and Australian dollars for a shorter-term trade.