Buy into the fear or sell into the strength?
- Stock markets remain positive year to date; despite the recent sell-off; Dow Jones remains +13% higher last 9 months;
- Crude Oil (CL) price remain +15% higher since start of 2019;
- US Dollar gains +4.2% since January;
Market Themes
- US Dollar Remains Strong despite the fact that the US Fed is entering lower rate cycle;
- Soft commodities prices such as Coffee, Corn, Soybean, have been hardest hit on the strong USD
- Precious metals prices hold gains as the US dollar strengthens in a sign that safe haven assets remain strong as the US – China trade war continues, Brexit risk remain and no clear signals on how far interest rates will move
US Dollar Index gains +4% since the start of 2019;
Source: FXGM / Bloomberg