Analyst: The Fed is cautious in cutting interest rates, and the US dollar surpasses the British pound to become the best currency in the G-10

The dollar has surpassed sterling as the best performing G20 currency so far this year as the Federal Reserve has become more cautious about rate cuts, Rabobank analysts said in a report. The Fed made a highly anticipated 25 basis point rate cut last Wednesday, but also hinted that the pace of rate cuts would slow. The Bank of England kept interest rates unchanged last Thursday as expected, but three members voted in favor of a rate cut. Before the two decisions were announced, dollar positions turned net long for the first time since November 5, while long positions in the pound fell in the week to December 17, according to the latest data from the Commodity Futures Trading Commission. Long positions are positions that bet on rising asset prices. (Jinshi)