With the USD on a recent downward trend despite hike expectations, CitiFX Strategy writes Why isn't the Dollar rallying?
"They note the following points:
– Factor, sector, and country rotation in equities has likely contributed to the recent USD underperformance
– USD positioning remains relatively long across G10 and EM, limiting USD upside tactically
– The rise in oil prices led to the strength in exporter currencies against the Dollar," Citi notes.