US Dollar Talking Points
Fresh data prints coming out of the US may prop up the Dollar over the remainder of the month as the Federal Reserve appears to be on track to change gears later this year.
Fundamental Forecast for US Dollar: Neutral
The US Dollar Index (DXY) tagged a fresh monthly high (93.52) following the Federal Open Market Committee (FOMC) interest rate decision as the central bank laid out a tentative exit strategy, and signs of stronger growth along with indications of sticky inflation may prop up the Greenback as it fuels speculation for an imminent shift in Fed policy.
A rebound in orders for US Durable Goods along with an uptick in the Conference Board’s Consumer Confidence index may encourage the FOMC to normalize monetary policy sooner rather than later as it instills an improved outlook for private-sector consumption; one of the leading drivers of growth.
At the same time, the update to the Personal Consumption Expenditure (PCE), the…