- Rate hikes help to restore confidence that economy, inflation are moving in line with projections
- BOJ must be vigilant to upside risks to inflation though
- Rising food prices could lead to inflation expectations overshooting
- Dollar to retain supremacy as key global currency
- But cracks are appearing as investors diversify into other currencies
I think the point of the dollar is the more interesting bit as it does cement the narrative we’ve been seeing since April. However, with Trump’s tariffs now starting to take shape and other countries are the ones chickening out, is that a sign for things to turn around for the dollar? We shall see.
This article was written by Justin Low at investinglive.com.
