Home›Forex›Major Pairs›Dollar eases after Treasury yield pullback, remains on…

Dollar eases after Treasury yield pullback, remains on track to gain

The Dollar Index (DXY) slipped to 101.20 from above 101.60 on Tuesday, while analysts still see a 1.8% monthly gain and potential further upside into year-end.

Reported · Written up by our desk · Major Pairs

FXStreet reports the US dollar traded with a moderately softer tone on Wednesday, pressured by a pullback in US Treasury yields and dovish remarks from New York Fed President John Williams.

The outlet said the Dollar Index, which tracks the greenback against a basket of currencies, fell to 101.20 from two month highs above 101.60 on Tuesday, but remained on track for a 1.8% monthly gain.

FXStreet also cited analyst views that elevated US Treasury yields, higher oil prices tied to the Middle East war, and the Fed’s ongoing commitment to fight inflation are key drivers of the dollar’s broader uptrend.

While ING noted that any stabilization in risk sentiment could reduce the rally, the outlet reported ING also warned it may be premature to call a peak because markets could still reprice a higher probability of an October Fed hike.

Latest closeDollar index 101.25 ▲0.3%

More like this

Sources