The US Dollar Index is trading near 98.90 on Thursday, showing upward momentum despite remaining below the 100.00 threshold. The greenback’s strength comes ahead of a critical wave of global flash PMI releases that will provide fresh insights into economic health across major economies. Hawkish remarks from Federal Reserve officials are bolstering the dollar, reinforcing market expectations that the central bank may maintain higher interest rates for an extended period. Traders and forex professionals should brace for potential volatility as PMI data hits the wires, with any surprises in manufacturing and services activity likely to trigger sharp currency movements. The dollar’s grinding advance suggests underlying demand amid uncertainty about global growth trajectories. Market participants are closely watching whether DXY can break through the psychological 100.00 level, which would signal stronger conviction in dollar bullishness.
FXnCO Insight
Position ahead of PMI releases with tight stops, as divergence between US and international economic data could accelerate dollar moves beyond the 100.00 resistance level.
Source: FXStreet