Monex: expects Fed to cut rates by 25 bps in September, November and December slightly less than the market currently expects

The U.S. dollar could rise if U.S. retail sales data prompts markets to lower the Federal Reserve's overly aggressive expectations for rate cuts, Monex Europe said.Monex analysts said in a report that data to be released later in the day could show a moderate rise in consumer activity in July, reinforcing the message that the U.S. economy is still expanding. “If we are right, the market should continue to align with our view of Fed easing and we expect this dynamic to be favorable (for the dollar).” Monex expects the Fed to cut rates by 25 basis points in September, November and December, slightly less than the market currently expects.