US Dollar stays bid around 94.00 ahead of US data

• The index keeps the rally well and sound today.
• DXY visited session tops above 94.00 amidst declining yields.
• US Durable Goods Orders, U-Mich index and Powell next on tap.

The greenback, in terms of the US Dollar Index (DXY), is trading on a firm note at the end of the week, now shedding some ground after briefly testing daily highs beyond 94.00 the figure.

US Dollar looks to data, Powell

The index is reverting yesterday’s negative performance and is now hovering over the key barrier at the 94.00 milestone against the backdrop of a better sentiment around the buck despite declining US yields.

In fact, yields of the key US 10-year reference remains on the defensive today, orbiting around 2.95% and closer to weekly lows around 2.95% seen on Thursday.

In the meantime, market participants continue to digest the recent news regarding the cancellation of the Trump-Kim Jon-un summit originally scheduled for next month in Singapore.

In the US data space, April’s Durable Goods Orders are due next along with the final reading of the Consumer Sentiment for the current month and the speech by Fed’s J.Powell in Stockholm.

Further out, FOMC’s Kaplan, Bostic and Evans are due to speak at an event at the Dallas Fed.

US Dollar relevant levels

As of writing the index is gaining 0.15% at 93.93 facing the immediate hurdle at 94.19 (2018 high May 23) followed by 94.22 (monthly high Dec.11 2017) and then 94.27 (high Oct.5 2017). On the downside, a break below 93.54 (10-day sma) would target 93.30 (low May 21) en route to 92.99 (21-day sma).