# Investors brace for faster Fed taper, rate hikes next year

> Investors have held net long dollar positions for 21 straight weeks, adding to them ahead of the Fed's taper that began the previous month. The dollar index has risen 3.3% since the September Fed meeting that signaled a possible asset-purchase reduction.

- Date: 2021-12-14 · published 2021-12-14T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/43784-investors-brace-for-faster-fed-taper-rate-hikes-next-year
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A firmer dollar and expected rate hikes weigh on dollar-priced commodities and can pressure US export competitiveness for feed grains and meal, while supporting import costs for feed buyers abroad.

## Read by commodity

- DXY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2016-12-15 | [Fed lifts rates, sees faster pace of hikes in Trump's first year](https://feedsoft.ai/events/6463-fed-lifts-rates-sees-faster-pace-of-hikes-in-trump-s-first-year.md) | +1.6% | +1.1% |
| DXY | 2022-01-27 | [Dollar jumps as markets brace for larger, faster rate hikes \| Reuters](https://feedsoft.ai/events/6268-dollar-jumps-as-markets-brace-for-larger-faster-rate-hikes-reuters.md) | +0.1% | +0.7% |
| DXY | 2021-09-23 | [Investors look ahead to rate hikes with Fed tapering plan all but certain](https://feedsoft.ai/events/44961-investors-look-ahead-to-rate-hikes-with-fed-tapering-plan-all-but-certain.md) | +1.0% | -0.0% |
| DXY | 2016-12-16 | [Dollar near 14-year highs after Fed tips more rate hikes](https://feedsoft.ai/events/6461-dollar-near-14-year-highs-after-fed-tips-more-rate-hikes.md) | +0.0% | -1.3% |
| DXY | 2018-12-20 | [Fed lifts rates for 4th time this year but sees fewer hikes \| AP News](https://feedsoft.ai/events/61490-fed-lifts-rates-for-4th-time-this-year-but-sees-fewer-hikes-ap-news.md) | -0.1% | -1.1% |

## Sources

- reuters.com: https://www.reuters.com/markets/us/investors-brace-faster-fed-taper-rate-hikes-next-year-2021-12-14/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.