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The rhetoric is clear—Fed will hike in June or July: Strategist

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Is more pain in store for dollar?

The dollar sell-off subsided Monday attempting to recover from a three-week low as investors await a speech from Fed Chair Janet Yellen that could provide clarity on the impending rate hike decision.

The greenback came under pressure Friday on the heels of a disappointing May jobs number, but according to one strategist investors should not yet discount the Fed.

"I think a lot of [the selling] is overdone at this point," Boris Schlossberg told CNBC's "Trading Nation" on Friday. The , which measures strength of the dollar against a basket of other major currencies, has lost more than 6 percent of its value since its 52-week high in December.

But the decline isn't affecting Schlossberg's opinion that the possibility of an interest rake hike in the next few weeks is very real. "The [jobs] numbers were horrid. … We all knew we were going to see a big swoop down because of the Verizon strike," said the managing director and head of FX strategy at BK Asset Management.

Furthermore, Schlossberg believes that unless there were to be another bad report or the economy were to severely deteriorate over the next 30 days, all signs point to a green light for Yellen.

"The most important thing is the Fed wants to create escape velocity from QE. They don't want to be the Bank of Japan in a permanent state of monetary easing," he said.

"The Fed's best chance to normalize policy is going to be June or July," added Schlossberg. "They have been very clear in their rhetoric that they want to normalize. … I think the Fed is still a go, and if that's the story I think the dollar is pretty much at lows at this point."