Yuxin Investment Research Institute strategists said the US-Iran temporary peace deal has reduced but not eliminated market expectations of Fed rate hikes, which has capped the dollar's fall. LSEG data show a 68% probability of a 25bp hike in December and the market fully prices action by March next year. The strategists said the ongoing possibility of hikes should keep the dollar's decline less pronounced versus other assets, notably oil. The agreement is temporary and opens a new 60-day negoti

Yuxin Investment Research Institute strategists said the US-Iran temporary peace deal has reduced but not eliminated market expectations of Fed rate hikes, which has capped the dollar's fall. LSEG data show a 68% probability of a 25bp hike in December and the market fully prices action by March next year. The strategists said the ongoing possibility of hikes should keep the dollar's decline less pronounced versus other assets, notably oil. The agreement is temporary and opens a new 60-day negotiation on Iran's nuclear program.