USD Index: Open to further weakness on easing inflation pressures and slowing growth – MUFG
|US Dollar Index has fallen back to support from the 200-Day Moving Average at 105.40. DXY could decline further on evidence of easing inflation and slowing growth, economists at MUFG Bank report.
US yield curve has become even more inverted this month
“The US Dollar is open to further weakness in the near-term especially if the release of the latest ISM manufacturing survey, PCE deflator report and/or Nonfarm Payrolls report reveals more evidence that inflation pressures are easing and growth is beginning to slow more notably heading into next year.”
“The US yield curve has become even more inverted this month signalling a higher risk of recession even as financial conditions have eased recently”.
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.