Dollar index holds below 100-day MA despite minor uptick in treasury yields

  • The dollar index is sidelined below the 100-day moving average (MA) at press time, despite the uptick in the treasury yields. 
  • The greenback could take cues from the spread between the US 10-year and two-year Treasury yields. 

The dollar index (DXY) is flat-lined below the 100-day MA, currently at 96.54, having failed to keep gains above that crucial average line in the last two trading days. 

The 10-year treasury yield is currently trading at 2.42 percent, up four basis points from the low of 2.38 percent hit yesterday. So far, however, the recovery in the benchmark bond yield has failed to put a bid under the greenback. 

It is worth noting that the DXY had picked up a strong bid at six-week lows near 95.70 hit last Wednesday, as the rate pause signaled by the central bank on that was priced in by markets over the last three months. 

The bounce, however, ran out of steam at 96.81 on Friday with the section of the yield curve inverting for the time since 2009, triggering recession fears. Further, the index fell back below the 100-day MA yesterday, stalling the bounce from the lows 95.70 hit last week. 

Looking forward, the focus remains on the spread between the US 10-year and two-year Treasury yields, which is still holding in the positive territory. 

Technical Levels

    1. R3 96.94
    2. R2 96.81
    3. R1 96.67
  1. PP 96.54
    1. S1 96.4
    2. S2 96.27
    3. S3 96.13


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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD directionless just above 1.1200

The EUR/USD pair has started the week gapping lower amid tensions in the Middle East giving the greenback an extra lift. ECB monetary policy decision later this week weighing on the shared currency.


GBP/USD depressed but off daily lows

The Sterling came under selling pressure on news that Sir Alan Duncan has resigned as foreign office minister in the middle of a conflict with Iran. Tensions mounts ahead of Tories’ leadership definition.


USD/JPY remains in daily range below 108 following Kuroda comments

The USD/JPY pair is having a hard time finding direction in the second half of the day and continues to move sideways below the 108 mark.


Gold in search of a firm direction, stuck in a range below $1430 area

Gold extended its sideways consolidative price action through the mid-European session on Monday and remained confined in a narrow trading band, around the $1425 region.

Gold News

Altcoins are set up to hunt for Bitcoin

Among the main Altcoins, only Ethereum is yet to be crossed upwards. XRP moves in another ecosystem and will not pull the market. Libra may be positive, not a danger to the market.

Read more