“If This Trade Doesn’t Work, You Can Blame Me…”

In July I wrote a piece titled, ‘Is the real US Dollar Pain Trade Lower?’. At the time the US dollar was sucking wind, but many traders were still playing for a bounce. The prevailing wisdom was that the Fed’s tighter monetary policy, combined with Trump’s business acumen, along with a tax reform bill, and topped off with a massive short covering surge from emerging market US dollar denominated issuers, would ensure the two-year US dollar rally would continue.

This post was published at Zero Hedge on Sep 20, 2017.