Alpha Binwani Capital: “The dollar is being bought as traders have shifted from expecting the Fed to hold to pricing a near-certain 25 bp hike tonight, supported by higher Treasury yields, sticky inflation, elevated energy prices and weaker risk sentiment. Markets are also leaning toward further tightening—or at least a sustained hawkish bias—but that outlook depends on the FOMC’s guidance and Chair Warsh’s tone. Because a sizeable hiking cycle is already priced in, a cautious, data-dependent message that stresses uncertainty or the need to wait and assess could trigger a dollar pullback”
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