US Dollar softer, clings to 99.00

FXStreet (Edinburgh) - The greenback, tracked by the US Dollar Index, is giving away part of its recent gains albeit keeping the trade above the 99.00 mark.

US Dollar Index around 99.00 post-US CPI

The index has retracted from session highs around 99.20 after US inflation figures have disappointed investors during December, with headline consumer prices contracting 0.1% inter-month and advancing 0.7% over the last twelve months.

On the bright side, Building Permits have bettered estimates while Housing Starts have come in short of expectations.

US Dollar significant levels

As of writing the US Dollar Index is down 0.12% at 99.00 and a breach of 98.14 (low Jan.8) would open the door to 98.93 (200-day sma) and finally 97.21 (50% Fibo of 93.82-100.60). On the other hand, the next up barrier aligns at 99.73 (high Jan.6) followed by 100.00 (psychological level) and then 100.60 (2015 high Dec.3).

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