Via Bank of Tokyo-Mitsubishi in January:
USD: hard to see a clear trigger to reverse near-term sell off
The US dollar has continued to weaken during the Asian trading with the dollar index breaking below the 90.00-level for the first time since the end of 2014. US dollar weakness at the start of this year has been reinforced by heightened concerns over the ongoing shift to more protectionist US trade policies. Our analysts in Hong Kong put together the following report (click here) which assesses in more detail the recent decision by President Trump to introduce new tariffs on solar panels and washing machines. Market participants will be closely scrutinizing upcoming comments from President Trump at Davos, and in his Sate of Union address to assess if trade will be a more important policy focus this year ahead of the mid-term elections.
