• US Dollar Index: Range trading, with a soft bias in the near-term – Scotiabank

Market news

4 May 2023

US Dollar Index: Range trading, with a soft bias in the near-term – Scotiabank

USD is narrowly mixed versus majors as markets digest the FOMC decision. Economists at Scotiabank expect the US Dollar Index (DXY) to remain stable.

Fed outcome largely in line with market expectations 

“The overall outcome was largely in line with market expectations and priced in; as such, the USD is likely to remain soft but, on the basis of current interest rate differentials, it looks close to fair value in broad terms at this point.”

“If a further, major decline is unlikely at this point, a significant rebound is unlikely.”

“Range trading, with a soft bias appears likely for the DXY in the near-term.”

 

Market Focus
Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer
Open Demo Account & Personal Page
I understand and accept the Privacy Policy and agree to my name and contact details being used by TeleTrade to contact me about this.