USD/QAR Outlook:
Slightly positive, but likely to move sideways as the rate is near its 90-day average and recent highs, without clear momentum.
Key drivers:
• Rate gap: The Federal Reserve holding interest rates steady reflects a cautious approach which may ease pressure on the USD.
• Risk/commodities: Oil is trading above its average, supporting the QAR, given its oil-based economy.
• Macro factor: Concerns surrounding U.S. trade policies and geopolitical tensions are prompting a decline in USD demand.
Range:
Expect the USD/QAR to hold steady, with potential minor drifts within its recent 3-month range.
What could change it:
• Upside risk: A rebound in U.S. economic data could bolster the USD.
• Downside risk: Intensified geopolitical tensions may further weaken demand for USD.
