Standard Chartered: The "exceptionalism" of the US economy may support a strong dollar.
Although the price of Brent crude oil has fallen back to levels before the outbreak of the Iran war, easing inflation concerns, the increasing volatility of emerging market assets is being influenced by the hawkish signals from the Federal Reserve and renewed worries about the sustainability of AI-related stocks. Dan Pan, economist for Standard Chartered Bank in New York, stated, "The 'exceptionalism' of the US economy may support a stronger dollar." However, she also stated that some reactions in the market after the Federal Open Market Committee meeting "may be somewhat excessive" and that "if the Fed maintains interest rates, this could also boost market risk appetite for emerging market assets."
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