Dollar Index Loses Momentum But Stays Firmly Around 106 Mark Amid Hawkish Fed Remarks

Published on Apr 19, 2024 10:56

The dollar index futures hover around 106 mark on Friday even though the currency continues to find stiff resistance above the level despite hawkish comments from FOMC members. Minneapolis Fed President Neel Kashkari reportedly wants to be "patient," with the first rate cut "potentially" not appropriate until next year. New York Fed President John Williams also embraced the "no rush" on rate cuts view set in February by Fed Governor Christopher Waller and since echoed by many of his colleagues. US 10-year benchmark treasury yields stay elevated at 4.55%. Meanwhile, escalating tensions in Middle East is also limiting downside for the greenback and supporting the safe haven currency. Currently, the dollar index futures are quoting at 106.01, up marginally on the day. Among the basket currencies, EURUSD and GBPUSD are trading slightly lower at $1.0664 and $1.2425 respectively.