US Dollar fades the spike above 92.00

In term of the US Dollar Index (DXY), the buck has eased some upside momentum and is now returning to sub-92.00 levels.

US Dollar gains capped just above 92.00

The index is struggling to extend further north the weekly rebound from Friday’s cycle lows around the 91.00 neighbourhood, finding quite a tough barrier just beyond 92.00 the figure amidst prevailing risk-on conditions.

Muted headlines from North Korea over the weekend, somewhat alleviated effervescence in the US political arena and lower-than-expected consequences following the Hurricane Irma seem to have give extra oxygen to the risk-on sentiment, helping the index on its way up.

The up tick in the buck stays sustained by the equivalent move in yields of the key US 10-year benchmark, regaining around 15 bp from last week’s lows to the current area near 2.17%.

In the US data space, the NFIB index surpassed estimates at 105.3 for the month of August, while JOLTs job openings rose to 6.170 million in July, also surpassing forecasts.

US Dollar relevant levels

As of writing the index is up 0.01% at 91.92 facing the next hurdle at 92.20 (10-day sma) seconded by 92.70 (21-day sma) and finally 93.35 (high Aug.31). On the downside, a breach of 91.08 (2017 low Sep.8) would target 91.00 (psychological level) en route to 87.63 (low Dec.16 2014).