Weak U.S. employment data may intensify expectations of a declining dollar
According to ChainCatcher, citing Golden Ten Data, strategists at Morgan Stanley stated in a report that if the upcoming U.S. employment data this week, as well as decisions from the European Central Bank and the Bank of Japan, result in interest rate differentials unfavorable to the U.S. dollar, the dollar may fall to new lows. If the non-farm employment report released on Tuesday is weak, it could further fuel market expectations that the Federal Reserve will cut rates again in the first quarter of next year.
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