Belgian United Bank: Fed Meeting Minutes Indicate Upside Risk for the US Dollar, Euro May Fall Below July Lows

The Belgian United Bank has conveyed that the Federal Reserve’s monetary policy meeting minutes for July indicate that policymakers still perceive significant upward risks in inflation, which could potentially lead to a further strengthening of the US dollar.

As the US dollar maintains its momentum, this could potentially result in the euro against the dollar dropping below the lows seen in July.

Despite the Fed‘s clear guidance, the US currency market perceives only a one-third probability of the Fed raising rates for the final time by November, a fact that continues to astonish us.