The US dollar may be under pressure due to weak economic data, with increased expectations for interest rate cuts

According to Jinshi reports, XTB analyst Hani Abuagla pointed out in a report that if the U.S. third-quarter economic growth data falls short of expectations, the dollar will face significant pressure. Any signs of economic cooling may strengthen expectations for further interest rate cuts by the Federal Reserve next year, thereby lowering yields and further weakening the dollar. The decrease in year-end liquidity and changes in global monetary policy may exacerbate this sensitivity, especially as the recent interest rate hike by the Bank of Japan may attract capital inflows into the yen.