Forecasting the Coming Week: Focus remains on central bank s policy divergence fxstreet.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from fxstreet.com Daily Mail and Mail on Sunday newspapers.
An unexpected rise in the US CPI in March propelled the Greenback to yearly highs and kept the risk complex under renewed and strong downside pressure.
Another positive week saw the Greenback reclaim the area beyond the 104.00 hurdle, advancing modestly on a weekly basis against the backdrop of the mixed performance in US yields and Fedspeak supporting a tighter-for-longer Fed’s stance.
Further selling pressure prompted the Greenback to retreat further and put the USD Index (DXY) on track to challenge the 104.00 support after weaker-than-expected.
The Greenback maintained its constructive stance and extended the consolidative mood around the upper end of the recent range, all against the backdrop of small retracements in risk-associated assets.