Dollar Index Languishes Near 15-Months Low; Eyes Breach Below 100 Mark

Published on Jul 13, 2023 10:20

The dollar index broke all crucial barriers and is seen eyeing a breach below 100 mark on Thursday. Softer than expected US inflation data that came in at an annual 3% in June, its lowest since Mach 2021 is expected to keep the Federal policymakers to turn less hawkish on interest rate hikes. This coupled with slower pace of growth in jobs market as revealed last week is dragging down the US benchmark treasury yields alongside dollar. US 2 year and 10 year yields are off recent highs and quoting at 4.7% and 3.8% respectively, reducing beats of a Federal rate hike soon. The dollar index that measures the greenback against a basket of currencies is lingering at a 15-month low of 100.14. Weakness in the dollar index is buoying the peers in the dollar basket. EURUSD is up 0.06% at $1.1183 whereas GBPUSD is at $1.3018, up 0.16% on the day.