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Trade talks remain in the spotlight. How will the dollar react?

Here is their view, courtesy of eFXdata:

Nomura Research discusses the  sentiment outlook over the next few weeks going into year-end.

“Global equity achieved a risk rally as expected on 10-15 October.  We expect little clear direction in sentiment until around 5 November, but we see this as a period in which the market will be laying the foundation for the next risk-on phase (which we expect to begin on or around 5 November).

Zooming out to a longer-term perspective, US equity sentiment seems to have formed a double bottom with troughs in August and October, and this may be a positive sign. This pattern suggests that  US equity supply and demand is likely to take a turn for the better toward the end of the year,” Nomura notes.

“On the other hand, uncertainty still abounds in areas such as the global economy and US-China trade issues, but  if sentiment follows its usual distinctive rhythm, the risk of a predictable selloff in US equity may have retreated somewhat,” Nomura adds.

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