According to Jinshi, the Federal Reserve's July meeting minutes and the downward revision of US non-farm payrolls data consolidated market expectations of an upcoming interest rate cut, and the US dollar hit a nearly eight-month low before rebounding.

Swap markets are re-pricing a 100 basis point rate cut by the end of the year, but that looks unsustainable and the dollar is likely to recover, Swissquote analyst Ipek Ozkardeskaya said in a note.