BofA: Jackson Hole risks skew hawkish | Forexlive

Bank of America expects the upcoming Jackson Hole symposium to be a pivotal moment for US rates, with Fed Chair Powell likely signaling a future rate cut while maintaining flexibility. The risks, however, lean toward a more hawkish tone, potentially strengthening the USD.

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BofA sees the potential for a more hawkish tone from Fed Chair Powell at the Jackson Hole symposium, with a focus on retaining flexibility in future rate decisions. This could lead to higher US rates and a stronger USD, especially if Powell avoids signaling an imminent rate cut or downplays the likelihood of large cuts.

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