The USD is experiencing a resurgence

The USD has made a comeback in recent months, defying expectations of further weakness. Factors such as risk appetite and the yield advantage have kept the dollar range-bound, while concerns about the Chinese economy and other global economic indicators have contributed to its recent strength. Although the Chinese authorities aim to anchor their currency, uncertainties remain about the effectiveness of this strategy in boosting exports. The overall outlook suggests that the USD is likely to remain strong, with global growth risks and potential rate cuts by other central banks further supporting its position.