Image: TechFlowThe Fed's 'hawkish' rate hike takes effect: what does it mean for the U.S. dollar?
• The U.S. Federal Reserve implemented a hawkish interest rate hike to combat inflation. • Citi Research reports that the spot premium—the price difference between immediate and future Brent crude oil contracts—has widened significantly. • Tight physical oil supply and conflict near the Bab-el-Mandeb Strait remove clear downward drivers for the U.S. dollar in the short term.
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