USD: Data Surprise Mean Reversion A Risk For USD Longs – BNPP

The US Dollar is on a roll and awaiting critical data. What’s next?

Here is their view, courtesy of eFXdata:

BNP Paribas discusses the USD outlook and thinks that on balance, the USD seems vulnerable to downside risks from current levels.

“In the US, the CPI report will be released and the Fed will deliver its semiannual monetary policy report to Congress.

We think US activity is peaking in Q2 and that a slower pace of expansion will follow in H2. With the Fed well-priced now, the USD remains vulnerable to downside data surprises,” BNPP argues.

For lots more FX trades from major banks, sign up to eFXplus

By signing up to eFXplus via the link above, you are directly supporting Forex Crunch.

Leave a Reply