The US dollar has picked up in the short term, explains Saxo Bank’s head of FX strategy John Hardy, but what could be its longer-term direction?

The New York Fed’s William Dudley has indicated his enthusiasm for rate hikes and US rates are picking up, reflecting into USDJPY which is moving up.

Hardy also examines EURUSD and GBPUSD, with the UK now starting two years of negotiations with the EU over Brexit.