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US Dollar Declines as Investors Price in Federal Reserve Rate Cuts
The US dollar has recently experienced a significant decline, reaching its lowest point in the past 12 months. This downward trend is driven by mounting investor optimism that the Federal Reserve has completed its series of interest rate increases and is poised to embark on a cycle of rate cuts starting as early as next year.
Rapid Selling of Dollars
Investors are swiftly divesting from the dollar, reflecting a shift in market sentiment. The latest data indicates that it is the fastest pace of dollar selling in a year, signaling a possible change in the outlook for the US economy and monetary policy. This shift suggests that many market participants now believe the Fed's tightening cycle has come to an end.