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How strong will the Trump Dollar be? – Commerzbank

The US Dollar may well appreciate somewhat further in the coming weeks and months once the consequences of Trump's election victory have been fully priced in, Commerzbank’s FX analyst Ulrich Leuchtmann notes.

Policy of the Trump administration likely to lag behind its announcements

“However, the potential is limited. The main consequences have already been factored into the exchange rate. In the medium term, further USD strength is not likely to prove sustainable.”

“On the one hand, because the actual policy of the Trump administration is likely to lag behind its announcements. And on the other hand, because the inflationary effects are likely to be accepted by the Fed.”

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FXStreet Insights Team

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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