US Dollar: Sentiment weighs on defensive currencies – ING
ING’s Francesco Pesole notes that strong Nvidia earnings and buoyant equities have supported high‑beta currencies and pressured the Dollar, with only the Japanese Yen performing worse in G10. Oil price moderation and stable geopolitical risk pricing also limit safe‑haven demand. Pesole expects some Dollar stabilisation today, but still sees downside risks as markets stay tilted away from defensive FX.
Risk-on tone pressures safe havens
"Improved sentiment has weighed on the dollar over the past 24 hours, with only the yen taking a worse beating in G10 yesterday (more in the JPY section below). Oil price moderation is also playing a role, with markets seeing no reason to price in geopolitical escalation."
"Polymarket’s probability of a US strike on Iran by the end of March – the most accurate driver of oil prices of late – has been stable at around 60% for a few days now. At this stage, any escalation there looks like the most plausible catalyst for a broader dollar rally, given the reassurance from Nvidia’s results and the lack of major data releases."
"Overall, we could see some stabilisation in the dollar today, though some downside risks remain as the positive spillover from Nvidia’s earnings may keep markets tilted away from defensive currencies a little longer."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Peers Withdraw IPO Plans Collectively, Anthropic Ventures Solo into Mid-November Window: $1.5 Trillion Valuation Faces Major Liquidity Test
Due to the impact of macro interest rates and the postponement or withdrawal of IPOs by peer companies, the wave of tech listings in the U.S. stock market this fall has nearly disappeared. Anthropic has become the only AI giant to stick to its scheduled listing, planning to release its public prospectus by the end of October, directly facing strict tests of institutional subscription and market liquidity with a potential valuation as high as $1.5 trillion.
Indian Rupee wipes out weekly gains as oil prices continue to rise
EUR/USD Price Forecast: Softens to near 1.1200, sub-100-day SMA keep outlook bearish
How big is CoreWeave's funding gap? Goldman Sachs: Only $23 billion, buy! Bernstein: $76 billion, risky!
Bernstein points out that the Goldman Sachs model contains optimistic assumptions, while Goldman Sachs' own cash flow statement shows that it will incur $46.6 billion in new debt over the next two years—twice the headline figure of $23 billion. More importantly, Goldman Sachs holds over 1% equity in CoreWeave and serves as its underwriter. Currently, CoreWeave's unsecured bond yields have reached 15%, with the first DDTL repayment due right now, and losses are expected to continue until 2029.
Crypto prices
More
