Gold Ten News on November 15th, UBS Global Wealth Management stated that the recent strength of the US dollar may not continue after Trump wins the US presidential election. Analysts stated in a report that in the medium to long term, the US dollar may weaken. ‘Trump’s proposed policies are expected to expand the twin deficits and weaken the long-term attractiveness of the US dollar,’ they said. They also stated that Trump may not be able to fulfill policies that boost the US dollar and he may seek lower yields and weaker currency. At the same time, they stated that the market has gone too far in terms of expectations for a rate cut by the US Federal Reserve, and the ‘over-adjustment’ of US Treasury yields may decline along with the US dollar. UBS expects the euro to rise from the current 1.0573 to 1.12 against the US dollar by December 2025.
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Gold Ten News on November 15th, UBS Global Wealth Management stated that the recent strength of the US dollar may not continue after Trump wins the US presidential election. Analysts stated in a report that in the medium to long term, the US dollar may weaken. ‘Trump’s proposed policies are expected to expand the twin deficits and weaken the long-term attractiveness of the US dollar,’ they said. They also stated that Trump may not be able to fulfill policies that boost the US dollar and he may seek lower yields and weaker currency. At the same time, they stated that the market has gone too far in terms of expectations for a rate cut by the US Federal Reserve, and the ‘over-adjustment’ of US Treasury yields may decline along with the US dollar. UBS expects the euro to rise from the current 1.0573 to 1.12 against the US dollar by December 2025.