There Is Scope for Dollar to Correct a bit More, Says MUFG's Halpenny

The transcript discusses various factors influencing the US dollar's performance, including interest rate differentials, market sentiment, and positioning. It highlights the dollar's performance since President Trump's election, noting the impact of rate hikes and trade policies. The discussion also covers the correlation between interest rates and FX movements, investor caution, and the flattening yield curve, which affects returns despite nominal rate spreads.

What factors suggest that the dollar still has strength?

How has the sentiment on the US dollar changed recently?

How have rate hikes affected the dollar's performance since President Trump's election?

What underlying factors are curtailing enthusiasm for the dollar?

What does the flow data indicate about investor confidence in the US economy?