US Dollar around 93.00 on US releases

The US Dollar Index – which measures the buck vs. its main rival currencies – has trimmed initial losses and is now back around the 93.00 handle.

US Dollar bid on data

The index seems to have found solid contention in sub-93.00 levels today, staging a moderate rebound after the Chicago PMI rose well above expectations to 65.2 for the current month.

On the not-so-bright side, US consumer sentiment gauged by the Reuters/Michigan index came in a tad below consensus at 95.1 for the same period. Additional results saw consumer expectations beating estimates at 84.4, inflation expectations in line with prior surveys at 2.7% and current conditions missing previous estimates at 111.7.

Previously, US inflation figures tracked by the Core PCE (the Fed’s preferred gauge) rose above estimates 1.3% on a year to August, while personal income and personal spending matched forecasts for the same period.

In the meantime, DXY stays well on track to close its third week with gains, although the future of the tax reform proposal and upcoming non-farm payrolls appear as the main drivers for the buck in the near term at least.

Ahead in the session, Philly Fed P.Harker (voter, hawkish) is due to speak.

US Dollar relevant levels

As of writing the index is gaining 0.11% at 93.05 facing the immediate resistance at 93.66 (high Sep.28) followed by 94.03 (23.6% Fibo of the 2017 drop) and finally 94.14 (high Aug.16). On the other hand, a breach of 92.60 (10-day sma) would open the door to 92.35 (21-day sma) and finally 91.53 (low Sep.20).