US Dollar clings to modest recovery gains. Economists at ING expect the greenback to remain resilient ahead of the Federal Reserve's (Fed) policy announcements.
Some support going into the Fed meeting
“Our view for tomorrow is that the Fed still has an interest in hanging on to hawkish rhetoric and pushing back against speculation of an early peak and – above all – rate hikes in 2023. The net result for the Dollar may be positive.”
“We think the Dollar can hold on to yesterday’s gains going into the FOMC meeting, and high-beta currencies could remain key underperformers in a risk-off environment.”
“Volatility looks likely to pick up quite markedly during the remainder of the week.”
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