German Bank: If the data casts doubt on the prospect of a US rate cut, the dollar is more likely to react.

Xinhua News on July 24th, Jinshi Data, Antje Praefcke, a forex analyst at Deutsche Bank, said in a report that the upcoming US economic data may consolidate market expectations that the Federal Reserve will enter a rapid interest rate cut cycle in the next few months, but this is unlikely to have a substantial impact on the US dollar. The first interest rate cut in September has now been almost fully absorbed by the market, and it is widely believed that there may be two more rate cuts before the end of the year. If the US second quarter economic growth data to be released on Thursday and the personal consumption expenditure index to be released on Friday support these expectations, the reaction of the US dollar will be restrained. Praefcke said, 'However, if these data cast a shadow over market expectations, I expect (the US dollar) to show a more pronounced trend.'