The Dollar Index (DXY)
Key news events today
USD Retail Sales m/m
USD Core Retail Sales m/m
What can we expect from DXY today?
Overnight, the US CPI surprised markets as it was released at 6.4% which was slightly higher than the forecast of 6.2%. The data spurred significant volatility in the DXY as the price spiked up to the 103.20 price level before replacing sharply to retest the 102.45 price area. However, as the inflation did not fall as much as expected, the expectation for further rate increases from the Feds has increased. The DXY, currently trading at 103.23, is anticipated to continue climbing to the upside, with the next key resistance level at 103.80. Look out for the US retail sales data to be released today (Forecast: 1.9% Previous: -1.1%) could provide additional upside potential for the DXY.
Central Bank Notes:
Federal Reserve hiked rates by 25bps taking interest rates to 4.75%
Next meeting is on 23 March 2023
Ongoing rate increases will be expected
Next 24 Hours Bias
Medium Bullish
