The American dollar it further declined at the start of Thanksgiving week. Economists at UBS analyze the outlook for the Greenback.
The US dollar will remain around current levels in the coming months
We expect the US dollar to remain stable in the first months of 2024 due to strong US economic growth and high interest rates in the US relative to the rest of the world.
With a sharp narrowing of yield differentials unlikely over this period, we expect the US dollar to be bullish against the euro, British pound, Japanese yen and Swiss franc in the first quarter of 2024 and before the greenback weakens again.