 Dollar was the strongest one for most part of the week, and even breached parity against Euro. But the greenback pared gains on late turn in market sentiment, and ended as the second best only. Swiss Franc was surprisingly the best performer, while Kiwi was the third. Yen was the weakest one, as selloff continued on diverging central bank path with other peers. Sterling and Euro were the next weakest. Canadian Dollar just ended mixed even though BoC surprised the markets with a mega 100bps hike. Investors are now still expecting "just" a 75bps rate hike by Fed this month, and that helped sentiment recovered. Considering the prospect of stronger rebound is stocks, risk of a pull back in the greenback is growing, except versus Yen. Additionally, Euro might finally rebound on short covering after failing to break through parity against Dollar decisively. Gold is also approaching a key support level. |
