Dollar Pulls Back From Highs Ahead of Key Economic Data
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The US Dollar retreated from highs, failing to close above a key technical level that could have signaled further upside.
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Traders are focused on upcoming US jobless claims data which could reverse recent Dollar gains if it shows a deterioration in the labor market.
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Housing starts and manufacturing data is also in focus today, though unlikely to significantly move markets.
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The Dollar index faces resistance around the 55-day and 200-day moving averages near 103.40. A daily close above is needed to turn the recent rally into a longer uptrend.
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Equity markets are trying to shake off the downbeat tone from earlier this week, while Fed rate cut expectations remain low for January but are rising for later in 2023.