The US Dollar has come under renewed selling pressure in Asia this Monday after Goldman Sachs revised downward its expectations of the US Federal Reserve (Fed) rate hike outlook, in the face of the Silicon Valley Bank (SBV) fallout.

Key quotes

"In light of recent stress in the banking system, we no longer expect the FOMC to deliver a rate hike at its March 22 meeting with considerable uncertainty about the path beyond March."

“Goldman Sachs now predicts -

March on hold

May +25 bps

June +25 bps

July +25 bps

Terminal rate forecast at 5.25 - 5.50%.”