Next year, the situation may get even worse should the US economy shows more vivid signs of slowing along with the global GDP. In this case, the that is under an intense pressure from the White House will have to give up and take a pause in hiking rates, which will make the dollar even less attractive for bulls.
On the other hand, the potential global growth slowdown suggests that other major central banks will refrain from tightening as well. So in this context, the greenback will still have the advantage as the Fed hikes rates since late-2016.
The markets will also continue to closely monitor developments in foreign and domestic policy. The political ucertainty Trump’s disputed even with the Republicans, and staff reshuffles could fuel a full-fledged crisis on Wall Street, which will inevitable affect the US currency.