US Dollar likely to continue to trade on a stronger footing this week – MUFG


The US Dollar Index (DXY) has moved back above the 105.00 level for the first time since the middle of November. Economists at MUFG Bank analyze USD outlook.

The Fed could lag behind European central banks when starting to cut rates

Market attention in the week ahead will focus on the health of the US labour market with the release later today of the latest JOLTS job openings report for February and the NFP report for March on Friday. 

Unless there is a significant slowdown in US employment growth, the US Dollar is likely to continue to trade on a stronger footing this week to reflect the building risk that the Fed could lag behind European central banks when starting to cut rates.

 

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