Fed to Cut Rates, FX Volatility to Rise, Commerzbank Says

The video discusses the low volatility in 2020 compared to 2019, attributing it to neutral monetary policies by major central banks like the Fed and ECB. With recent interest rate cuts, further movements are unlikely, keeping exchange rates stable. However, there's a possibility of the Fed cutting rates again, which could increase volatility, especially affecting dollar exchange rates.

In what way could future movements in interest rates affect exchange rates?

What does the text suggest about the future of volatility in the market?