Once more the dollar is struggling to find traction in a recovery as resistance to a rally seems to be building. There was a degree of recovery yesterday on the comments from FOMC chair Powell over the continued wind down of the Fed balance sheet (through quantitative tightening), however the general message coming out of Fed speakers in January (vice chair of the FOMC Richard Clarida was the latest to advocate this) seems to be one of “patience” in rate hikes. This seems to be playing into the market pricing for no rate hikes in 2019. This will keep the dollar under wraps, something that is again showing through ... (full story)