DXY 260424 4h Chart
U.S. Dollar Index gains ground as traders react to the PCE Price Index report. The report showed that PCE Price Index increased from 2.6% in February to 2.7% in March, compared to analyst consensus of 2.5%. Core PCE Price Index grew from 2.6% to 2.8%, in line with analyst estimates. The reports indicate that inflationary pressures persist, which is bullish for the U.S. dollar as Fed will be forced to be more hawkish to fight inflation.
Currently, U.S. Dollar Index is trying to settle back above the resistance at 105.75 – 106.00. In case this attempt is successful, U.S. Dollar Index will head towards the next resistance level, which is located in the 107.10 – 107.35 range.
