The chief market strategist at Tradepedia, Habib Akiki, expects the dollar to continue to rise in the coming year due to the trends of the US Federal Reserve and the divergence in monetary policies between the Fed and other central banks, especially the Japanese and the European.
Habib Akiki added, in an interview with Al-Arabiya, today, Thursday, that in the current year there was a similarity in monetary policies to some extent, but this approach has changed in the past two months, as the Federal Reserve has taken a strict direction in its policy, while the European Central continues to Its expansionary policy, which indicates the continued support of the dollar in the coming year.
On the expectations for raising interest rates in Britain, the chief market strategist at Tradepedia said that the expectations depend on several factors, including that the Bank of England expects inflation rates in Britain to reach 3 times its targets during the month of April next, and it can reach 6% and this forces the Bank of England to raise interest rates. England to raise interest rates.
The Bank of England raised interest rates for the first time in 2021 in December to 0.25%, while maintaining its asset purchase programme.
Akiki added that for the first time a central bank raises interest rates, and continues with the asset purchase program because it usually stops easing programs by stopping pumping liquidity into the market, followed by raising interest rates, but the Bank of England was forced to do so, to reduce inflationary pressures without affecting liquidity with companies and the economy.
Habib Akiki indicated that there are no major strict steps, but the most deviation was from the US Federal Reserve by ending the easing programs next March, with expectations of raising interest rates at the end of the first quarter of next year.
On his expectations for gold prices, the chief market strategist at Tradepedia said that gold was in a very favorable position to rise this year, and despite its good situation in the first half of this year, it ended the year with occasional trades and not a rise and is expected to continue in the occasional movement during the year The next, because the central banks are heading to a hardening trend during 2022, and this is not suitable for gold, and we may witness some declines in prices.