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Greenback Consolidates Gains Amid Shaky Risk Sentiment

LATAM
  • The USD has consolidated Tuesday’s post-Brainard advance and has marginally extended on Wednesday with the Bloomberg dollar index up a tenth of a percent as we head into the NY crossover.
  • There's a tentative sense of risk-off evident in equity markets, with most continental indices lower by 1% or more, weighing on MXN (-0.33%) as a barometer for LatAm currencies ahead of their opens.
  • Central bank speakers in the spotlight, with ECB's Lane and Knot due, as well as Fed's Harker before the much-watched release of the Fed minutes. Additionally, U.S. Treasury Secretary Yellen is expected to warn that the war in Ukraine threatens to inflict “enormous economic repercussions” globally, just as governments impose fresh sanctions on Russia and economists cut growth forecasts.

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