[A2Z]

For any central banker there have only 2 tools to fight inflation the interest rate and the currency. Fed Powell was in denial that inflation is transitory (likely pressure by politics). Powell was hoping that supply constraints wd ease off but sway still kenna with covid lockdowns, russian ukraine invasion causing the energy to pop up. The only safe haven to park you $Billions is in US$. The strength of US$ has taken away some inflationary pressure (recalled when Trump imposed imports duty on China, Rmb/US$ strengthen to almost 10% to offset the import duty charges). RMB was touted to be the new currency to replace US$ but it pooped. Powell woke up realized he was way behind the curve (Even our local ocbc research head can be better than him, dbs too). So now die die must kill the inflation monster, hence sell whatever assets and pack your funds in US$. The bigger picture is all big funds, banks are doing that.