The US Dollar (USD) struggles to stay resilient on Tuesday. Economists at ING analyze Greenback’s outlook.
Some upside potential on the back of decent consumer confidence figures
Today, the US data calendar includes durable goods orders for January, the Conference Board Consumer Confidence index and the Richmond Fed manufacturing index. The former of the three releases should be soft, while consumer confidence is expected to have stabilised and the manufacturing gauge to have improved while staying in negative territory. On the manufacturing side, the ISM figures later this week will be watched closely and while it is not our base case, there is a chance of the gauge moving back to expansionary territory (>50) for the first time since October 2022.
We expect a stabilisation in the Dollar today, with some upside potential on the back of decent consumer confidence figures.
We see DXY moving back above 104.00 by the end of the week.
Source: https://www.fxstreet.com/news/dxy-set-to-move-back-above-10400-by-the-end-of-the-week-ing-202402270849