The US Dollar Index is under fresh downside pressure on Friday, now putting the key support at 97.00 the figure to the test in the wake of US data releases.
US Dollar offered post-data
The offered bias stays unchanged around the buck during the second half of the week, now threatening to break below the key 97.00 support following releases in the US docket.
In fact, new home sales rose by 610K units in May, or 2.9%, less than initially estimated, while Markit’s advanced manufacturing and services gauge for the month of June came in at 52.1 and 53.0, respectively.
USD is thus on its way to close the second consecutive week in the red territory, following another failed attempt to break above the 97.50 area despite supportive Fedspeak earlier in the week.
Later in the session, St. Louis Fed J.Bullard (2019 voter, centrist), Cleveland Fed L.Mester (2018 voter, hawkish) and J.Powell (permanent voter, centrist) are all due to speak, keeping the buck in centre stage.
US Dollar relevant levels
The index is losing 0.29% at 96.98 and a breach of 96.31 (2017 low Jun.14) would target 95.91 (low Nov.9 2016) and finally 94.95 (low Sep.22 2016). On the upside, the next hurdle lines up at 97.56 (high Jun.15) followed by 97.63 (38.2% Fibo of the May-June drop) and then 98.04 (50% Fibo of the May-June drop).
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