Dollar’s Relentless Advance Continues
Demand for the dollar keeps climbing. With less than two weeks to go before the next Federal Reserve meeting and the US presidential election, global investors are piling into the greenback, cutting wagers on an aggressive easing cycle, and betting that the next administration’s policy mix will inflict serious damage on other major economies while generating higher levels of inflation at home. The DXY dollar index is up almost 4 percent from its late September low, options markets are pointing to a growing appetite for hedges against extreme moves around the polling date, and currencies that have strong trade links...