BLBG: Dollar May See ‘Broad Bounce’ Similar to British Pound, RBS Says
By Daniel Tilles
Oct. 16 (Bloomberg) -- The dollar may strengthen, following a “bounce” by the British pound, according to Royal Bank of Scotland Group Plc.
“If the pound can bounce, then we must be wary that the dollar can also do so,” Greg Gibbs, a currency strategist in Sydney at the bank, wrote today in a report. “The dollar has become oversold. The bounce in the former increases the risk of a broad bounce in the dollar, even if it may only be a short- term reprieve.”
The dollar rose against 15 of the 16 most-traded currencies today, falling only against the pound.
To contact the reporter on this story: Daniel Tilles in London at dtilles@bloomberg.net
