Forecasting currency performance is like predicting the outcome of a horse race. Currencies move up the field and then fall back depending on their respective country conditions. And once in a great while, a very strong contender dominates the field – much like the winner of the Triple Crown. With U.S. growth momentum well ahead of its peers’, the U.S. dollar has lately become the front-runner in the currency sweepstakes. However, we believe the currency Triple Crown will likely prove elusive for the dollar in 2018. At PIMCO, we monitor exchange rates through a prism of currency valuations, interest rate ... (full story)