Danske Bank: Short-term risks for the US dollar are tilted to the upside after Waller's nomination

ChainCatcher News, according to Golden Ten Data, Stefan Mellin from Danske Bank stated in a report that after Trump nominated Warsh as the chairman of the Federal Reserve, the short-term risk balance has shifted in favor of a stronger US dollar. The nomination appears to have alleviated market concerns about a potential threat to the Federal Reserve's independence and prompted a partial unwinding of the political risk premium in the dollar. He pointed out that the sell-off of the dollar in late January was mainly due to political risks arising from the unpredictability of US policy, so the easing of short-term political uncertainty may create a tactical window for a dollar rebound.