The US dollar index is an apartment with the expansion of the market march to stocks and encrypted currencies
- Markets chase safe havens such as gold to their highest levels ever.
- Traders are preparing to release PCE in the United States in February, looking for new evidence about inflation.
- The US dollar index is trading around 104.50, although there is no safe flow in Greenback.
The US dollar index (DXY), which tracks the performance of the US dollar (USD) for six main currencies, is currently flat to a little top of 104.50 at the time of writing this report on Friday. Traders do not really look at Greenback but rather in the exit from the coded stocks and currencies to the precious metal market, as gold reached the highest level ever ever on Friday at a price of $ 3,086. The deadline for the mutual tariffs is approaching Fast, April 2, and it is clear that it struck a nerve between traders and market participants.
On the front of economic data, all eyes are preferred on the Federal Reserve (Fire), the United States Personal Consumption Discounts (PCE) for February. Core and Heartly’s monthly readings are expected to grow 0.3 %.
Digest Market Mark: All Eyes in PCE for new evidence of inflation
- At 12:30 GMT, US Personal Consumption Expenditure data is scheduled to be released for February:
- The PCE monthly address is scheduled to come 0.3 %, unchanged from the previous 0.3 %. The annual scale is expected to remain stable by 2.5 %.
- The monthly PCE must grow steadily 0.3 %. The annual basic PCE mark should reach 2.7 % of 2.6 %.
- At the same time, it is expected to reduce personal income in the monthly month of February 0.4 % from 0.9 % previously. Personal spending in the United States for February should reach 0.5 %, coming from the previous contraction of 0.2 %.
- At 14:00 GMT, it is expected that the Michigan University’s morale in March is expected to remain stable at 57.9. Consumer enlargement expectations are scheduled for 5 years unchanged at 3.9 %.
- At 16:15 GMT, Michael Barr, Vice President of the Federal Reserve, will speak in the field of supervision of banking policy at the 2025 Banking Institute in Charlotte, North Carolina
- At 19:30 GMT, Raphael Bustic, President of the Federal Reserve in Atlanta, will unify a policy committee at the Georgia Families Financing Conference in Georgia Technology in Atlanta, Atlanta, Georgia.
- Arrows are dived with losses ranging from 0.5 % to 2 % of Asia across Europe and to American future contracts.
- According to the CME Fedwatch tool, the possibility that the remaining interest rates in the current range of 4.25 % -4.50 % at the May 87.1 % meeting. For the June meeting, borrowing costs are 65.5 % lower.
- The return in the United States is traded for 10 years about 4.33 %, looking for a direction with small safe haven flows.
Technical analysis of the US dollar index: What about inflation?
The US dollar index (DXY) has been merged almost since the seismic decreased at the beginning of March. Slowly but steadily, some little relaxation of this lower lower step began to appear. Look for a simultaneous step, while increasing the gains of gold peeling and the difference between the United States and other countries that widen again, to return DXY to 105.00/106.00.
With the weekly closure above 104.00 last week, it is still possible to return to the circuit level 105.00 in the coming days, as the simple moving average is converging for 200 days (SMA) at that point and strengthening this area as a strong resistance at 104.95. Once it is broken in that area, it can limit a series of pivotal levels, such as 105.53 and 105.89, of upward momentum.
On the negative side, the round level is 104.00 the first close support after a successful bounce on Tuesday. If this level is not steadfast, the DXY risk a retreat to that march between 104.00 and 103.00. Once you wipe the bottom at 103.00, watched from 101.90 on the downside.
US dollar index: daily chart
Common questions between the United States of China for war
In general, the trade war is an economic conflict between the two countries or more due to severe protectionism at one party. It involves the creation of commercial barriers, such as customs tariffs, which lead to anti -import barriers, and to import costs, and thus the cost of living.
The economic conflict between the United States (the United States) and China began in early 2018, when President Donald Trump laid commercial barriers on China, claiming unfair commercial practices and theft of intellectual property from the Asian giant. China has taken retaliatory measures and imposed a tariff on multiple American goods, such as cars and soybeans. Tensions escalated until the two countries signed the commercial deal for the first stage of the United States of China in January 2020. The agreement requires structural reforms and other changes on the economic and commercial system in China and demonstrated by restoring stability and confidence between the two countries. However, the Koronavus virus’s pandemic took the focus from the conflict. However, it should be noted that President Joe Biden, who took office after Trump, maintained the customs tariff in his place and added some additional fees.
Donald Trump’s return to the White House as an American president ignited 47 new waves of tensions between the two countries. During the 2024 election campaign, Trump pledged to impose 60 % of the customs tariff on China once he returns to his position, which he did on January 20, 2025. With the emergence of Trump, the American trade war and China aim to resume the place where it was left, with policies for corrections that affect global economic records in nutrition in nutrition.
