US Dollar tumbles further to 89.40 ahead of US CPI
|- The selling bias around the buck gathers extra steam today.
- DXY trades around the 89.40 region, or fresh 2-week lows.
- US CPI figures for the month of March and FOMC minutes next on tap.
The greenback, measured by the US Dollar Index (DXY), is accelerating the weekly leg lower and is flirting with fresh weekly lows around 89.40.
US Dollar looks to CPI, FOMC
The index is retreating for the fourth consecutive session on Wednesday amidst alleviated concerns over the US-China trade dispute, a continuation of the bid tone around the Yen and fresh demand for EUR following recent hawkish views from the ECB.
In addition, geopolitical effervescence involving Syria, the US and Russia keep bolstering the demand for safe haven assets, like the Japanese Yen, therefore dragging USD/JPY to lower levels, all in detriment of the buck.
Looking ahead, March’s inflation figures tracked by the CPI are next of relevance in the US docket, seconded by the publication of the FOMC minutes of the March meeting.
US Dollar relevant levels
As of writing the index is losing 0.13% at 89.50 facing the next support at 89.41 (low Mar.7) seconded by 88.94 (low Mar.27) and then 88.25 (2018 low Feb.16). On the other hand, a breakout of 90.60 (high Apr.6) would open the door to 90.89 (38.2% Fibo of 95.15-88.25) and finally 90.93 (high Mar.1).
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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.