Bank of America Analyst: Dollar Likely to Remain Firm in Short Term, Fed May Stop Cutting Rates for Foreseeable Future

On January 23, analysts at Bank of America said in a report that the U.S. dollar is likely to remain high in the first half of the year before gradually falling from valuations at historically high levels. They said U.S. President Donald Trump's trade tariff policies continue to suggest dollar strength in the short term. They said the Federal Reserve is likely to stop cutting interest rates for the foreseeable future due to concerns about the persistence of U.S. inflation.