BoA survey shows the US dollar is expected to top out in Q1 2025

Bank of America’s latest survey re sentiment on FX and rate markets:

• USD expected to hit its 2025 peak this quarter

Reflecting increased concerns around

• US economic growth slowdown
• Doubts over US “exceptionalism” persisting
• “More investors now simply lack conviction for the rest of the year”
• High USD dollar valuation
• Rate differentials moving narrower in favour of other FX
• Long USD positions the most crowded trade

This article was written by Eamonn Sheridan at www.forexlive.com.