Eyes now turn to Mr Trump’s news conference, which will be followed for his outlook for his presidency with little over a week until he is sworn into office.
Markets and the dollar surged after his election as traders bet his plans for high infrastructure spending, low taxes and deregulation will fan growth and lead to higher inflation, forcing the Federal Reserve to hike borrowing costs.
But Stephen Innes, senior trader at OANDA, said in a note: “Traders will be viewing the speech with a high level of scrutiny (after) the market’s exhilaration over ‘Trumpenomics’.
“Initially, euphoria gave way to a more calculated approach to the (dollar) as we entered year end, and that has now morphed into a degree scepticism over the proposed US infrastructure spend.”
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