Long-term U.S. interest rates have risen as the market has started to price in the likelihood that the Federal Reserve will keep raising rates beyond 5 percent.
The dollar's rise was the result of position-adjustment with market developments overseas failing to give clear direction.
The dollar maintained its strength inherited from last week but its upside is capped when nearing the 120-yen level.
Another interest rate hike in March is a 'done deal' among market participants and a pause is likely to come after that in May.
The forecast of a narrowing of the trade deficit forecast is only after the record deficit last time.
I don't think the Fed will surprise the market but it will see if there are any hints available from the statement.
The euro doesn't look like getting out of its recent range.
Copyright © 2024 Electric Goat Media. All Rights Reserved.