Rampant Dollar Has Room to Run as Fed Gears Up for More Hikes
- Pound fell below $1.14 for first time since 1985 Friday
- Traders see chance of a 100-basis-point hike next week
This article is for subscribers only.
The ascendant dollar is wreaking havoc across foreign-exchange markets as traders brace for the Federal Reserve to continue hiking interest rates aggressively.
Over the past week, the pound dropped past $1.14 for the first time since 1985, the Australian dollar hit a fresh two-year low against the greenback and China’s yuan fell to the lowest since 2020, pushing past the 7-per-dollar mark.