Probably the biggest decision for investors in 2017 is determining the direction of the US dollar. Even more than getting your call on interest rates right, predicting the direction and trajectory of the dollar will be critical for asset allocation. Entering the year, the currency had already risen by almost 25 per cent over the past 30 months. Would it keep appreciating, thereby pressurising Emerging-Market (EM) assets, commodities and precious metals. Or will the long rally come to an end, lifting pressure on EM assets and commodities? Is there really an effective $10 trillion short as BIS implied a few
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