Economist Predicts Limited Dollar Rebound Amid Rate Cut Expectations

According to Odaily, economist David Meier from Baosheng Group stated in a report that if expectations for significant interest rate cuts in the United States diminish, the dollar might rebound, but the increase will be limited. Meier noted, 'We do not believe the dollar will return to the highs seen at the end of 2022, as overvaluation and declining interest rates present significant resistance to its movement.' He anticipates that currencies such as the British pound, Australian dollar, and New Zealand dollar may continue to strengthen against the dollar, as the rate cuts in these countries might not be as rapid as in the United States. Meier specifically highlighted that the interest rates of the British pound and New Zealand dollar could remain higher than those of the United States by the end of the year.