The US dollar is making a strong comeback in the first week of trading for 2017. The US currency is up against all competitors, most significantly against the euro, japanese yen and swiss franc.
All three pairs registered a move in favor of the US dollar in the second trading day for 2017 with slightly boring first day of trading for the year. However, today the EUR/USD went below 1.04 again, when a few days earlier it reached 1.0650. The swiss franc reached 1.0050 and is now back just a few points shy of 1.0300. And the japanese yen is yet again depreciated with price above 118 for a dollar.
All this comes as President elect Trump is about to step into office with his just formed administration full of financial and technological experts that are expected to take the US economy into the next level with more jobs created, tax cuts, spending cuts, higher rates and all that good stuff.
All this can infact be very dangerous for the US economy as this actually sets the bar really high and thus it would be very difficult to meet those expectations.