📝 Fed Aggressive Monetary Policy Could Backfire On The Dollar: TD Securities

The U.S. Federal Reserve's aggressive monetary policy tightening could eventually backfire on the dollar. Excessive Fed tightening could start to turn on the USD, especially as U.S. equities and growth continue to come under pressure. U.S. economic growth forecasts for 2023 ahead have been downgraded at a faster pace than forecasts for other countries in the past eight weeks, reflecting the effect of the Fed's policy tightening. The median forecast now sees the Eurozone growing at a faster pace than the U.S. next year. - TD Securities FX Strategy