Deutsche Bank recommends forex crosses over dollar trades
Deutsche Bank strategists are advising currency traders to focus on forex crosses rather than dollar trades, citing the Iran conflict and global AI investment as key market drivers. They highlight two groups of currencies for consideration: those benefiting from high commodity prices and strong capital expenditure (like AUD, NOK, BRL, MYR), and those that authorities are willing to defend against shocks or are oversold (like CNY, JPY, GBP). The bank's conviction in a broad dollar downtrend is diminishing due to ongoing geopolitical issues and the US being a net beneficiary of AI and high commodity prices.
https://www.investing.com/news/forex-news/deutsche-bank-recommends-forex-crosses-over-dollar-trades-93CH-4701849