Goldman's Richard Chambers predicts dollar's decline due to increased foreign currency hedges

From Yahoo Finance: 2025-06-24 18:34:00

The dollar is set to continue its downward trend as foreign investors increase their currency hedges, says Goldman Sachs’ Richard Chambers. The Bloomberg Dollar Index has dropped over 8% this year due to global market volatility caused by President Trump’s policies. Overseas investors may lessen their demand for US bonds, with European investors staying in home markets as the euro gains traction. The US will need to rely more on domestic buyers to absorb increasing debt, as highlighted by Bridgewater Associates’ Alex Schiller. Central banks are reducing bond holdings, leading to a shift in global bond purchasing trends.



Read more at Yahoo Finance: Goldman’s Chambers Sees Currency Hedges Accelerate Dollar’s Fall