US Dollar holding on to 96.00 and above
|After reaching fresh daily highs in the 96.30 region, the US Dollar Index has now returned to the 96.10/00 band.
US Dollar supported near 95.80
The index has extended the bearish note to fresh multi-month lows near 95.80 early in the European morning, although it managed to regain upside traction to the 96.30 area after the ECB said that markets misjudged yesterday’s hawkish comments by President M.Draghi.
USD stayed apathetic after yesterday’s innocuous comments by Chief J.Yellen, who argued that the likeliness of another crisis is close to zero, as the banking system is now stronger. Furthermore, she stressed that the Fed will reduce its balance sheet ‘gradually and predictably’.
In the meantime, yields of the US 10-year benchmark are advancing for the second straight session so far, albeit retreating from earlier daily tops near 2.26% to the current 2.215%
Data wise in the US today, May’s pending home sales are due along with the EIA’s weekly report on US crude oil inventories, although the bulk of the attention would surely be on speeches by central bankers at the ECB Forum in Portugal.
US Dollar relevant levels
The index is losing 0.09% at 96.09 facing the immediate support at 95.85 (2017 low Jun.28) followed by 94.95 (low Sep.22 2016) and finally 94.05 (low Aug.18 2016). On the flip side, a breakout of 96.95 (21-day sma) would open the door to 97.02 (10-day sma) and then 97.56 (high Jun.15).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.