Dollar Index Tests One Week Low In Asia Before Finding Support

Published on Sep 12, 2023 12:05

The US dollar index slipped to a one week low of 104.40 today before recovering as market stayed focused on the upcoming inflation data this week to get a better ideas whether the Fed will hike interest rates at the next meeting of the Federal Open Market Committee later this month. The dollar index started the week on a feeble note yesterday as improving risk appetite globally capped the demand for the currency. A sharp surge in the Japanese Yen also had a ripple effect as the DXY extended a slide from six month highs once 105 mark was broken on the downside. The US stock market finished session higher on Monday, as bargain buying continued. This paved way for a tepid start for the US currency in Asia though a cautious movement in Asian equity indices pushed up the DXY from one week lows and the index currently quotes at 104.64, up marginally on the day.