On a day in which the US markets will remain closed, the global dollar maintains its strength for the fifth consecutive week.
He dollar maintains its stability this Monday, consolidating his fifth consecutive week of gains driven by solid inflation data in the US. Meanwhile, the yen is close to the psychological threshold of 150 units per dollar.
It should be noted that this Monday, for the holiday of Presidents’ Day, US markets remain closed, anticipating a likely day of low trading volume. The dollar index, which evaluates the performance of the currency against a basket of six pairs, is positioned at 104.18, registering an increase of 0.18% compared to the previous week.
In mid-Novemberthe index peaked at 104.97 after surprising with higher-than-forecast US inflation in January. This news led investors to reconsider their expectations for interest rate cuts by the Federal Reserve this year. However, it saw a decline on Thursday after a drop in retail sales last month was revealed.
The euro shows a slight recovery, standing at $1.0783 after hitting a three-month low the previous week, trading at $1.0695. For its part, the pound sterling shows an increase of 0.17%, reaching $1.2621.
Dollar: the data that the market expects
The upcoming release of Purchasing Managers’ Indexes (PMIs) on Thursday will provide a clearer view on the economic health of the Eurozone and the UK in February. Likewise, the minutes of the latest Federal Reserve meeting, scheduled for Wednesday, They are presented as the main focus of attention for investors during the week.
Regarding expectationsInvestors Await a Possible Federal Reserve Rate Cut of About 90 Basis Points This Yearmarking a considerable decline from 145 basis points in early February.
The dollar fell 0.19% against the yen today, standing at 149.94 yen. Meanwhile, the Chinese yuan hardly changes in continental markets, remaining at 7.1987 units per dollar. The move comes as investors return from a week-long Lunar New Year vacation, even though tourism revenues showed an increase during the holidays.
Source: Ambito
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