- The American dollar lasts above 108.00 because traders are waiting for ads for weekend tariffs.
- Trump threatens 100% tariffs to the BRICS nations if they challenge the American dollar in global trade.
- PCE inflation in the US shows constant price pressure, strengthening the careful Fed attitude.
- The American dollar index rises near 108.50, which means a fresh weekly level.
The American dollar index (DXY), which measures the value of the American dollar in relation to the currency basket, remains stable above 108.00 before a very anticipated weekend for global trade policy. Because the tariffs in Canada and Mexico will appear on Saturday, at the beginning of next week the market variability is expected. In addition, during the Friday session, press para. Karoline Leavitt repeated that February 1 will be the term of the Canada and Mexico tariff. In addition, the government government confirmed the tariffs for the Canada and Mexico tariff at 25%, and China at 10%
Meanwhile, President Trump repeated his position against BRICS nations, trying to introduce a up-to-date currency of international trade, swearing raw tariffs in response. The edition of the December data on consumption expenditure (PCE) confirmed stable price pressure, strengthening the expectations that the Federal Reserve (FED) will maintain a cautious approach to policy adaptations.
Daily Digest Market Movers: American dollar companies as traders monitor data on trade and inflation
- The American dollar remains constant when the markets are waiting for the implementation of the tariff in Canada and Mexico this weekend.
- President Trump warns against 100% tariffs to the nations of BRICS if they try to create an alternative global currency.
- On the data front, the inflation of December PCE increased by 0.2% MOM, while Core PCE increased by 0.3%, both as expected.
- Chicago PMI in January came at 39.5, there was a bit of 40.0 expected, but improving from 36.9 in December.
- Personal income in the USA in December increased by 0.4%, while personal expenditure increased by 0.5%, signaling continuous consumer resistance.
- As for the expectations of the Fed, the CME Fedwatch tool designs 80% probability that the FED will maintain the current policy rate in March without corrections.
- The PKNOW model in Atlanta FED will publish its initial estimation of Q1 growth today, and the treasury of the US treasury is reflected in the higher, and 10-year profitability trade about 4.50%.
- Despite the problems with the tariff, American Futures from equity indicate a positive open, signaling that the risk appetite remains intact.
DXY Technical perspectives: Dollar has profits, but is in the face of key resistance
The American dollar index remains firm above 108.00, approaching the weekly level at 108.35. The shoot indicators suggest mixed perspectives, with a relative force indicator (RSI) and current red movable (MACD) coincidences, which reflects cautious moods.
If DXY extends its recovery, the resistance lies nearly 108.50, while minus support is evident around 107.80. While the stubborn rush remains narrow, all unexpected tariff development at the weekend can cause fresh variability, shaping the low -term trajectory of the US dollar.