The US Dollar Index (DXY), which tracks the US Dollar (USD) against a basket of six major currencies, traded lower around 100.90 during the Asian session on Thursday (5/15). The greenback remained under pressure as investors assessed ongoing trade-related uncertainties, despite recent easing of tensions.
Speculation has been growing that Washington may prefer a weaker dollar to support its trade agenda. The Trump administration has argued that a strong dollar, compared to weaker regional currencies, has hurt US exporters.
Improving global trade sentiment has eased recession fears, prompting markets to scale back expectations for a Federal Reserve (Fed) interest rate cut. LSEG data showed a 74% chance of a 25 basis point cut in September, down from previous bets for a cut in July, which provided some support to the US Dollar.
On the geopolitical front, senior Iranian official Ali Shamkhani said on Wednesday that Iran is willing to sign a nuclear deal with President Trump. NBC reported the proposal included a pledge by Iran to never develop a nuclear weapon in exchange for the immediate lifting of all US sanctions.
Meanwhile, US inflation continued to ease. The Consumer Price Index (CPI) rose 2.3% year-over-year in April, just below March's 2.4% and market forecasts, marking the lowest annual headline inflation in three years. However, this may be the last strong CPI reading for a while, as the Trump administration's upcoming tariffs on major trading partners are set to take effect in May.
The US dollar's recent rally, fueled by hopes of US-China tariff relief, began to fizzle out as traders refocused on the broader implications of US trade policy. Attention now turns to the upcoming US Retail Sales and Producer Price Index (PPI) data, due out on Thursday. (Newsmaker23)
Source: FXstreet
The USD/CHF pair weakened for the third consecutive day and traded around 0.7960 in early European trading on Tuesday. The Swiss franc strengthened on increased demand for safe haven assets, following...
The US Dollar Index (DXY) trended sluggishly around 99.06 on Monday (January 19th), as liquidity thinned as US markets were closed for Martin Luther King Jr. Day. Despite limited movement, global sent...
The US dollar is expected to rise for a third straight day on Thursday (January 8), but trading remains cautious as investors position themselves ahead of Friday's Nonfarm Payrolls (NFP) report. Recen...
The dollar index edged up to 98.5 on Tuesday, its strongest level in more than two weeks, as investors focused on a slate of key economic data for the US. Recent indicators have pointed to some soften...
The US dollar opened 2026 weakly on Friday. Throughout last year, the dollar was pressured by many major currencies due to narrowing interest rate differentials between the US and other countries. Con...
Oil prices stabilized on Thursday (February 12th), as the market reassigned a risk premium to US-Iran tensions despite US inventory data showing swelling domestic supplies. This movement confirms one thing: geopolitical headlines are still more...
Gold prices weakened slightly on Thursday (February 12th), as more solid US employment data reduced market confidence in an imminent Federal Reserve interest rate cut. The strong employment data prompted market participants to shift expectations of...
The Hang Seng Index reversed its downward trend in Hong Kong on Thursday (February 12th), weakening by around 0.9% to around 27,000 after a strong session earlier. This decline halted the momentum of the short term rally, as investors began to...