Citibank lowers USD/JPY call to 103.00

Citibank is the next major bank to lower their forecast on the USD/JPY, with Citi analysts dropping their 6 to 12 month horizon on USD/JPY from 108.00 to 103.00.

Citing a global risk-off environment, Citi analysts are considering the Yen to be "very cheap" against the majority of its counterparts in the long-term, especially the Euro, and Citi will also be looking for declining US Treasury yields on a slowing global economy to help spur the trade further on.

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.

US Dollar Index: Further downside could see the index test the 55-day SMA at 96.40

The index retreats from recent YTD peaks and remains under further selling pressure on the generalized better tone in the risk-associated universe. The continuation of the downside mood carries the potential to drag the buck to, initially, the 55-day SMA at 96.42 ahead of the Fibo retracement of the September-December up move at 96.22. The constructive bias in DXY appears unchanged while above the 95.53/34 band, where coincide the key 200-day SMA and the short-term support line.

US Dollar Index News

AUD/USD clings to gains near 1-1/2 week tops, around mid-0.7100s

The AUD/USD pair built on the previous session's goodish bounce from sub-0.7100 level and climbed to 1-1/2 week tops during the Asian session on Monday.