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2 Mar 2016
DXY poised for another test of 100.00 – Westpac
The greenback, when tracked by the US Dollar Index (DXY), could re-visit the critical handle at 100.00, according to strategists at Westpac.
Key Quotes
“This latest USD run-up may have real legs. Spec exposure to the USD has fallen precipitously in recent weeks, yet several key data points (Jan average hourly earnings, core CPI, core PCE) signal that the US economy may be finally closing its under-used resources gap”.
“The USD index has been held to a broad 93 - 100 range for more than twelve months and for the first time in many months it looks well positioned to mount a serious attack at the key 100 resistance level”.
Key Quotes
“This latest USD run-up may have real legs. Spec exposure to the USD has fallen precipitously in recent weeks, yet several key data points (Jan average hourly earnings, core CPI, core PCE) signal that the US economy may be finally closing its under-used resources gap”.
“The USD index has been held to a broad 93 - 100 range for more than twelve months and for the first time in many months it looks well positioned to mount a serious attack at the key 100 resistance level”.