US Dollar Holds Steady Amid Economic Trends

14 Ağu 2023

The US dollar is trading flat as Monday’s trading session gets underway. The greenback received a boost on Friday, after US producer prices read higher than predicted. The deviation wasn’t massive, but after the slight CPI increase revealed on Thursday, producer prices kept the trend, also reading above expectations. Against this backdrop, few will completely dismiss the possibility of another Fed interest rate hike before the end of the year, in a scenario that is positive for the dollar in the short-to-medium term. The greenback is also finding support due to growing apprehension over the growth prospects of the global economy, with China being the main cause of concern, in a dynamic that benefits the safe-haven dollar.

Ricardo Evangelista – Senior Analyst, ActivTrades