- The dollar remains in positive territory in the market, but far from the highs.
- EUR / USD unchanged from a week ago, after failing to sustain above 1.2200.
The EUR / USD fell to 1.2131 recently, the lowest level since May 14. Then it bounced and climbed to 1.2171. The tours were guided by what the dollar did in the market.
The greenback began to rise before the publication of the US personal income and spending report, in a context of weakness in stocks and the bond market. The report showed figures in line with expectations and a rise higher than expectations in the annual rate of the underlying price index of personal consumption spending. Another report showed that the Chicago PMI index climbed in May from 72.1 to 75.2, contrary to the market consensus of a drop of 68.
TFollowing the report, the greenback undertook a downward correction. The dollar index (DXY), which had been located above 90.40, fell to 90.15, remaining in positive territory.
The dollar continues to show daily gains on almost all fronts although it moved away from the highs affected by a decline in the yields of Treasury bonds, which took its strength away.
Compared to a week ago, the EUR / USD is trading slightly lower. This implies that the pair could not consolidate above 1.2200 and still has the risk of an extension in the ongoing downward correction., especially if it returns below 1.2150 in the next few hours.
Technical levels
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