4 Mar 2015
DXY in highs above 96.00
FXStreet (Edinburgh) - The US Dollar Index, which tracks the greenback against a basket of its main rivals, is extending its upside momentum on Wednesday, trading above the 96.00 handle.
DXY in more than 11-year highs
The USD upside remains unabated so far. Positive surprises in today’s US calendar saw Markit’s Services PMI climbing to 57.1 in February vs. 54.8 expected and up from January’s 54.2; in addition, the more relevant ISM Non-Manufacturing followed suit, up 56.9 during the same period, leaving behind both consensus and previous estimates.
Fuelling the upside, market chatter regarding the Fed could start its hiking cycle sooner than market expectations commenced to build up amongst investors.
The other key release today, the ADP employment report, showed the US private sector adding 212K jobs during the past month vs. 220K forecasted, although the previous reading was revised up to 250K from 213K.
DXY levels to consider
The index is now up 0.57% at 95.99 with the next resistance at 96.07 (high Mar.4) ahead of 97.00 (psychological level). On the downside, a breakdown of 95.10 (low Mar.2) would aim for 94.86 (low Feb.27) and finally 94.08 (low Feb.26).
DXY in more than 11-year highs
The USD upside remains unabated so far. Positive surprises in today’s US calendar saw Markit’s Services PMI climbing to 57.1 in February vs. 54.8 expected and up from January’s 54.2; in addition, the more relevant ISM Non-Manufacturing followed suit, up 56.9 during the same period, leaving behind both consensus and previous estimates.
Fuelling the upside, market chatter regarding the Fed could start its hiking cycle sooner than market expectations commenced to build up amongst investors.
The other key release today, the ADP employment report, showed the US private sector adding 212K jobs during the past month vs. 220K forecasted, although the previous reading was revised up to 250K from 213K.
DXY levels to consider
The index is now up 0.57% at 95.99 with the next resistance at 96.07 (high Mar.4) ahead of 97.00 (psychological level). On the downside, a breakdown of 95.10 (low Mar.2) would aim for 94.86 (low Feb.27) and finally 94.08 (low Feb.26).