the dollar has started to look pretty stuck this week, and i'm wondering if traders are just waiting for the next real catalyst before taking a bigger position.
dxy is sitting around 98.9, while usd/jpy is still near 159. that pair is probably the one i'm watching most because the yen has already seen a lot of intervention pressure recently, but the underlying rate difference is still keeping usd/jpy elevated.
the bigger event now is friday's jackson hole speech, but before that we also get the july pce inflation data. so there are basically two things the market needs to digest: whether inflation is still sticky enough to keep the fed cautious, and what powell says about the path for rates from here.
eur/usd also looks interesting because the pair has been relatively calm while the dollar tries to recover. sterling is holding near a six-month high as well, helped by expectations around uk rates.
personally i dont really want to chase the dollar while its stuck in this range. i'd rather see which side breaks after the pce data and jackson hole.
do you think the next big usd move comes from the pce number, powell's speech, or the usd/jpy intervention risk?
and which pair are you watching most right now — eur/usd, gbp/usd or usd/jpy?
dxy is sitting around 98.9, while usd/jpy is still near 159. that pair is probably the one i'm watching most because the yen has already seen a lot of intervention pressure recently, but the underlying rate difference is still keeping usd/jpy elevated.
the bigger event now is friday's jackson hole speech, but before that we also get the july pce inflation data. so there are basically two things the market needs to digest: whether inflation is still sticky enough to keep the fed cautious, and what powell says about the path for rates from here.
eur/usd also looks interesting because the pair has been relatively calm while the dollar tries to recover. sterling is holding near a six-month high as well, helped by expectations around uk rates.
personally i dont really want to chase the dollar while its stuck in this range. i'd rather see which side breaks after the pce data and jackson hole.
do you think the next big usd move comes from the pce number, powell's speech, or the usd/jpy intervention risk?
and which pair are you watching most right now — eur/usd, gbp/usd or usd/jpy?
