Market Briefing: Year-end rebalancing flows weigh on dollar into quiet data week
The dollar continues to lose altitude as market participants gradually rebalance portfolios ahead of a new calendar year. With US economic outperformance fading, the Federal Reserve expected to slow and then pause its tightening cycle, energy prices falling, and geopolitical shocks fading, many investors have become less willing to crowd into long-greenback positions, and demand for alternatives is growing. Oil prices are steady even after the Group of Seven industrialized democracies agreed to cap shipments of Russian crude at $60 a barrel. Under the plan, Western companies will be barred from insuring, financing, or shipping Russian oil unless it is...