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The correction for the USD that started in Q4 last year has further legs to run. Yield differentials and technical analysis point to further USD weakness ahead.
The FOMC monetary policy decision will be crucial this week. But there is a raft of other tier-one announcements for traders to also watch. Growth and inflation will once more be in focus.
There has been a subtle but significant shift in sentiment for the USD in recent weeks. Weakness is no longer triggering decisive buying. This could be the early signs of an end to USD outperformance.
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