© Archyde.com. Commerzbank: The US dollar will continue to rise for these reasons!
Arabictrader.com – Economists at Commerzbank believe that the US dollar will continue to gain strength at the present time, due to the positive US economic data, which was a key factor in supporting the strength of the US dollar.
Also, analysts at Commerzbank pointed out that the statements of some hawkish members of the US Federal Reserve have strengthened the dollar at the present time.
In this context, Loretta Mester, a member of the US Federal Reserve, said that there is a convincing case for raising the interest rate by 50 basis points at the meeting next March, and this would support the levels of the US dollar.
Likewise, James Bullard, monetary policy maker at the US Federal Reserve, stressed that the additional interest rate increases will continue, in light of the beginning of the decline in inflation rates, indicating that the country’s economy is growing faster than it was in the second half of 2022, thus enhancing the strength of the US dollar.
Finally, Commerzbank experts added that if US economic data continues to surprise to the upside, it is likely that the majority of US Fed members will join Meister and Bullard in tightening monetary policy further, which will help the US dollar.