FXStreet (Edinburgh) – The greenback, tracked by the US Dollar Index, is gathering further traction on Monday and advancing to the 96.50 area, or session peaks.

US Dollar boosted by data, Fed’s Dudley

The greenback has managed to revert a neutral beginning and is now on its way to the mid-96.00s after US inflation figures measured by the PCE has surpassed estimates during August, rising 1.3% YoY. Personal Spending has followed suit, up 0.4% vs. 0.3% forecasted; on the not so bright side, Personal Income rose 0.3%, missing consensus at 0.4%.

The dollar has also found some support in the speech by Fed’s W.Dudley, who stated that a strong case for a lift-off is building up if the economy continues on the current path.

US Dollar levels to consider

At the moment the index is gaining 0.21% at 96.47 with the next hurdle at 96.70 (high Sep.25) followed by 97.07 (high Aug.19) en route to 97.33 (high Aug.12). On the flip side, a break below 94.06 (low Sep.18) would aim for 93.72 (low Aug.26) and finally 93.25 (low Aug.25).

The greenback, tracked by the US Dollar Index, is gathering further traction on Monday and advancing to the 96.50 area, or session peaks…

(Market News Provided by FXstreet)

By FXOpen