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  • The index advances to session tops in the proximity of 94.00.
  • US 10-year yields tumbles to session lows near 3.02%.
  • FOMC minutes today, Chief Powell’s speech in the limelight.

Measured by the US Dollar Index (DXY), the buck has resumed the upside and is now trading in the upper end of the daily range just below 94.00 the figure.

US Dollar looks to risk trends, FOMC

After two consecutive daily pullbacks, the index has now gathered some attention and is now poking with the proximity of the key 94.00 milestone, or fresh daily peaks.

The up move in the buck comes despite yields of the key US 10-year reference have tumbled to the 3.01% neighbourhood, or new multi-day lows.

In addition, advanced manufacturing PMI in Germany for the current month dropped to 15-month low, prompting a sell off in EUR/USD and thus lending extra legs to the buck’s climb.

Later in the NA session, the FOMC minutes will publish its minutes for the 1-2 May meeting, ahead of the speech by Chief J.Powell due on Friday. Further releases today include New Home Sales, the EIA weekly report on US crude oil supplies and the flash reading of Markit’s manufacturing PMI.

US Dollar relevant levels

As of writing the index is gaining 0.37% at 93.94 facing the next hurdle at 94.03 (2018 high May 21) followed by 94.22 (monthly high Dec.11 2017) and then 94.27 (high Oct.5 2017). On the other hand, a breakdown of 93.29 (low May 22) would target 93.27 (10-day sma) en route to 93.12 (low May 18).