Analysts expect the US Dollar Index to stay within a 96.00–100.00 range as Fed policy and fiscal concerns offset US growth advantages.
The US Dollar Index (DXY) remains steady above recent lows, supported by a US Treasury buyback announcement but constrained by mixed market drivers. Analysts forecast a 96.00–100.00 trading range in the coming months, balancing stronger US growth against potential Federal Reserve dovish repricing and fiscal credibility risks.
July’s PCE data, due later today, is expected to reflect softer inflation trends. Headline PCE is projected to rise 0.1% month-over-month, while core PCE is seen up 0.2%, matching June’s annual rate of 3.3%. The report may reinforce expectations for the Fed to maintain its current policy stance.
US equity futures show little movement ahead of Nvidia’s earnings, while crude oil prices extend declines amid diplomatic efforts to secure shipping routes in the Strait of Hormuz.