Strategy Note / Global

US Dollar: Recent weakness, drivers up and down from here (in one chart)

  • Spot rate down 9% from March peak (Covid-19 panic), but US$ still above 10-year averages for spot (6%) and REER (9%)
  • Weak (or at least stable) US$ a pre-requisite for non-Technology EM-FM equities (eg Brazil, SA performance recently)
  • Chart shows US$ history and drivers up (panic, v-shaped recovery) or down (EU growth, reserve currency rivals) from here
Problem based learning

To continue reading this article, sign up for your free Tellimer account.

Disclosures

This report is independent investment research as contemplated by COBS 12.2 of the FCA Handbook and is a research recommendation under COBS 12.4 of the FCA Handbook. Where it is not technically a res...

Full Tellimer disclaimers