Greenback rallies and keeps going - Scotiabank

FXStreet (Guatemala) - Eric Theoret, CFA, CMT Currency Strategist at Scotiabank noted that the USD has rallied broadly since its recent low on May 15th.

Key Quotes:

"Its near 5% rise driven by a reversal of the recent trend of disappointing data (top chart), with a notable improvement in housing starts/permits, leading indicators, CPI, and Tuesday’s durable goods."

"Overall, the data have provided for a stabilization in the U.S. growth outlook, with the Atlanta Fed’s GDP now showing a modest improvement in the model forecast for Q2."

"This stabilization is important to the Fed, reducing fears of downside risk as it seeks to determine the path for policy normalization."