FXStreet reports that UOB Group’s Strategists discusses the prospects for the greenback in the next months.

“The USD currently draws strength from the jump in US Treasuries yield over the past quarter. Our technical analysis also highlights the risk that a weekly close in the USD Index (DXY) above 93.40 would greatly increase the odds of further DXY strength to 94.30.”

“President Biden’s upcoming massive infrastructure stimulus plan may unleash potent fiscal forces that will add to USD uncertainty. Overall, our FX view remains that the current USD strength since the start of this year may not extend into 2H21. The brighter global growth outlook means that cyclical and risk currencies within the Majors and Asian FX space would regain their footing and strengthen against the USD. Specifically, we maintain our view that the CNY, SGD and most Asian FX will exhibit renewed modest strength in the latter half of the year.”