Goldman Sachs Chief Asia-Pacific Economist: The Dollar Is Expected to Depreciate Further

According to a report by Jinse Finance, Andrew Tilton, Chief Asia-Pacific Economist at Goldman Sachs, discussed the outlook for the dollar, predicting that "the dollar will further depreciate" because, according to Goldman's exchange rate model, the dollar is still overvalued by about 15% compared to its long-term fair value. "We also see signs that foreign investors may at least slightly reduce their investment allocation in the U.S. to some extent, which is also a net negative for the dollar," Tilton added. He also noted that U.S. policymakers seem to favor a weaker dollar.