National Australia Bank: The US dollar may stay at high levels due to trade agreement bringing certainty.

The National Australia Bank believes that with the trade agreement bringing certainty and relief to the market, the US dollar may remain at a high level. Rodrigo Catril, a strategist at the National Australia Bank in Sydney, said that for global growth, this agreement is not good news and may limit the upside potential of pro-cyclical currencies such as the Indonesian rupiah and the Australian dollar. "Overall, this agreement is more favorable to the United States. However, Indonesia has already avoided the worst-case scenario." "The view that the baseline tariff rate is 10% may be too conservative. The average tariff rate in various countries is closer to 20%, not 10%."