Societe Generale: US Data Reduces Speculative Bullish Bets on Dollar

Odaily News: In a report, Kit Juckes, an analyst at Societe Generale, said that as the rationale for holding long dollar positions weakens, speculators are scaling back their bets on dollar strength, with market trading currently thin. He stated: "Perhaps this month's US data has sent us a false signal (although it is only one month of data, the scope is quite broad—consumption, inflation, and employment all came in weaker than expected)." These data points have prompted the market to lower expectations for US interest rate hikes. Juckes said the question now is whether to wait for September data or accept the expectation that the dollar index may hover within the 95-100 range for the remainder of the year. (Jin Shi)