The Dollar is slightly mixed against G10 currencies, but lagging vs precious and base metals, like Gold, after the latter partly due to strengthened forecasts of strike action at BHP’s Spence and Escondida mines in Chile after the rejection of a contract offer.
Conversely, spot bullion has taken advantage of softer US Treasury yields and a flatter curve that are keeping the Greenback capped in wake of last Friday’s disappointing retail sales data to breach a key technical level that was protecting Usd 1850/oz (200 DMA at Usd 1845.98), with bulls now eyeing another upside objective in the form of a declining trend-line that crosses the y axis around Usd 1858.40.
Back to the dollar, 90.500 in the index has not been reclaimed and 90.153 may offer some support ahead of 90.000 on any further pull-back through the prior session low (90.278) as this represents the midweek base outside of the 90.429-265 range thus far. Ahead, NY Fed manufacturing, NAHB and 3 Fed speakers including current FOMC voter Bostic twice.
Overall further downside is expected long-term for the index. 88.00 is a very modest target over the next coming weeks.
Conversely, spot bullion has taken advantage of softer US Treasury yields and a flatter curve that are keeping the Greenback capped in wake of last Friday’s disappointing retail sales data to breach a key technical level that was protecting Usd 1850/oz (200 DMA at Usd 1845.98), with bulls now eyeing another upside objective in the form of a declining trend-line that crosses the y axis around Usd 1858.40.
Back to the dollar, 90.500 in the index has not been reclaimed and 90.153 may offer some support ahead of 90.000 on any further pull-back through the prior session low (90.278) as this represents the midweek base outside of the 90.429-265 range thus far. Ahead, NY Fed manufacturing, NAHB and 3 Fed speakers including current FOMC voter Bostic twice.
Overall further downside is expected long-term for the index. 88.00 is a very modest target over the next coming weeks.