ING: Wash's upcoming speech may boost the dollar

Odaily Chris Turner of ING said in a report that if Fed Chair Wash focuses on price stability during his speech at the European Central Bank forum in Sintra, Portugal, the dollar should remain firm. During his first meeting as Fed Chair in June, Wash emphasized the need to bring inflation back to the 2% target. Subsequently, data showed that the core Personal Consumption Expenditures (PCE) price index rose 3.4%, and the employment report was strong.

Turner said that if market expectations for a rate hike reverse, it would be "quite a surprise"; conversely, Wash’s speech poses an "upside risk" for the dollar. ING expects that the dollar index could rebound to the 101.700-101.800 range due to Wash's speech. (Jin Shi)