Dollar remains strong in the short term, but its long-term outlook weakens
智通财经2026/09/28 10:36- Kit Juckes from Société Générale pointed out in a report that the US dollar may remain strong in the short term.
- He mentioned that high oil prices, robust US economic data, and a rise in global risk aversion are all providing support for the US dollar.
- However, in the longer term, the midterm elections in November may make it difficult for Trump to continue the previously supportive loose fiscal policies for the US economy and the dollar.
- Juckes also stated that the savings levels of major global savings-based economies are lower than before, and the US needs to pay a higher cost to attract the necessary investment.
- The DXY dollar index, which measures the US dollar against a basket of currencies, edged up by about 0.1%, hovering around 101.
- In terms of market sentiment, short-term safe-haven demand and resilient economic data are still supporting the dollar, but changes in the fiscal policy outlook and the external savings landscape may put medium- and long-term pressure on its trend.
- Subsequent points of interest include the direction of US fiscal policy, changes in global risk appetite, and the rebalancing of savings and investment flows in major economies.
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
Oil prices continue to fall as Persian Gulf exports increase and Saudi Arabia cuts selling prices, indicating loosening supply
(1) After crude oil fell nearly 2% on Monday, oil prices continued to decline slightly on Tuesday. Increased exports from the Persian Gulf and Saudi Arabia's decision to lower oil prices signal a trend toward a more abundant market supply. (2) Brent crude oil fell below $100 per barrel, and West Texas Intermediate retreated to around $88. (3) Gulf oil-producing countries are transporting more crude oil through the Strait of Hormuz. Although risks remain high, more tankers are choosing to brave this disputed waterway. (4) Kuwait announced that its crude oil production has recovered to about 75% of pre-conflict levels; Iraq is increasing ship charters to export oil through the Strait of Hormuz. (5) Meanwhile, Saudi Aramco has lowered the official selling price of its flagship Arab Light crude for Asian customers to a six-year low in order to compete for market share.
European Central Bank Governing Council member Rehn: Energy price pressures may persist for a while
European Central Bank Governing Council member Olli Rehn stated that energy price pressures may persist for some time.
Chevron CEO says the last large basin has yet to be discovered
Chevron (CVX.US) CEO: I believe the last major basin has not yet been discovered.
Chevron says it may join the consortium for the proposed Iraq-to-Mediterranean oil pipeline.
Chevron (CVX.US) CEO: Regarding the proposed oil pipeline from Iraq to the Mediterranean, we may be a participant in a larger consortium.
Crypto prices
More
