A USD rebound is now underway as it reverses losses from the start of the year. Economists at MUFG Bank see room for the USD rebound to run further in near-term.

Break above 105.00 for the DXY to open up the 200-DMA at just below 106.50

“The upcoming releases of the latest FOMC minutes and PCE deflator report are unlikely to derail the USD’s rebound in the week ahead.” 

“We believe the USD’s recent rebound has room to run further in the near-term.”

“A break above the 105.00 level for the DXY would open up a retest of the year to date high at 105.63 and then the 200-Day Moving Average at just below 106.50.”