Will the CPI Crash the USD?
The most impactful releases of this week will fill the market with volatility and sharp movements. Be ready to take action!
Greenback steadies after data-driven soar
On Tuesday, the evergreen buck stabilized after soaring on positive American data, which brought Treasury yields to seven-week peaks, while the focus shifted to the Reserve Bank of Australia's policy verdict to see if it would join a surging list of key banks adopting rather a hawkish tilt.
Versus a basket of six key currencies the US dollar index dropped to 96.125, having soared 0.6% overnight as a stronger-than-expected ascend in the June Institute of Supply Management national factory activity index brought the 10-year Treasury yield to its highest value since May 16.
Monday's developments assisted the US dollar index to bounce back from a nine-month minimum of 95.470 reached on Friday.
The previous week the US dollar was heavily affected as hopes increased that key banks in Europe as well as Canada would stick to tighter monetary policy.
The common currency stood still at $1.1369, having dropped 0.6% overnight. The euro has drifted away from a near 14-month peak of $1.1445 hit on Friday.
Versus the Japanese yen the greenback lost 0.1%, trading at 113.270 yen.
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