Should We Keep an Eye on the U.S. Dollar, Which Has Fallen Back to 103 on the Dollar Index?
10.05.2022
- Remarks by Nagel, President of the German Central Bank
- Kashkari (U.S.): Remarks by the President of the Minneapolis Fed
In the U.S. currency market the previous day, the Dollar Index, which had been rising, fell to 103, and the EUR/USD pair rose by about 100 pips from 1.049 to 1.059.With yesterday’s rise, the EUR/USD has returned to the 1.047–1.059 range, so traders should keep 1.059 in mind as resistance if the pair breaks above it, and 1.047 as support if it breaks below it.
Among European currencies, the pound—which had been losing ground—is beginning to recover, and the GBP/USD pair rebounded, rising from 1.226 to 1.240. From a technical perspective, the GBP/USD pair has deviated from its 20-day moving average, and with the RSI at 30, investors should be cautious about further gains should the rebound continue.
Today’s schedule includes Turkey’s unemployment rate at 16:00, Germany’s ZEW Economic Sentiment Survey at 18:00, the U.S. NFIB Small Business Optimism Index at 19:00, remarks by U.S. Federal Reserve Bank of New York President Williams at 20:40, and remarks by U.S. Federal Reserve Governor Birkin at 22:15.Richmond Fed President’s remarks, at 23:00 Germany’s Bundesbank President Nagel’s remarks, at 26:00 the U.S. 3-year Treasury auction, U.S. Federal Reserve Governor Waller’s remarks, U.S. Kashkari:President of the Minneapolis Fed, and at 28:00, remarks by U.S. Federal Reserve Governor Bostic, President of the Atlanta Fed. We will carefully monitor whether today’s remarks by key officials will cause any shift in the faltering U.S. dollar.
Author: Keisuke Sakurai
