Nordea Sees Dollar Supported by Hawkish Fed, Firm Data

Nordea strategists forecast continued support for the US Dollar over the near term, attributing the outlook to the Federal Reserve's hawkish policy posture and consistently firm domestic economic releases.

The analysts argue that the combination of stronger US growth and persistent inflation justifies higher yields relative to other major economies, limiting downside risk for the greenback.

This view implies that the Dollar may hold its ground against peers as long as the Fed maintains its current stance and US data remain robust.