Unhedged Hedging the dollar
87 snips
Sep 23, 2025 The dollar has plunged nearly 10% this year, raising eyebrows about the stability of American institutions. Traders are hedging their bets as research reveals a shocking shift in hedging rates for U.S. inflows. The hosts delve into how recent Fed moves are influencing this dynamic and what political factors may be at play. Predictions about the dollar vary wildly as year-end approaches. Plus, they explore career choices and the bizarre world of matcha mania, making for a lively discussion.
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Classic New York Breakfast Cart Tale
- Robert Armstrong describes having a cinnamon raisin bagel with cream cheese bought from an aluminum cart in New York.
- He uses the detail to joke about classic New York breakfast culture.
Rates And Technicals Explain Dollar Weakness
- Interest rate differentials and a peak-dollar technical reversal both explain part of the dollar's fall.
- Markets also price a weaker dollar if US rates are expected to be cut more than peers.
Fiscal And Institutional Fears Drive Hedging
- Market unease also reflects concerns about US fiscal health and governance, not just rates.
- That fear can prompt foreign investors to hedge dollar risk even while buying US equities.