Ella 
The U.S. dollar index has been higher for a third straight session so far on Thursday, as market participants continue to assess that the Federal Reserve will remain on hold on Wednesday, in line with broad market expectations.
The dollar strengthened on the Federal Reserve’s upbeat assessment of U.S. economic growth and the prospect of another 25 basis point interest rate hike before the end of the year.
So far, the dollar’s continued rise appears to be driven by rising U.S. yields across the board, with short-term yields reaching July 2006 levels of nearly 5.20%.
In the United States, weekly jobless claims are usually released, followed by the Philadelphia Fed manufacturing index, the Conference Board leading index and existing home sales.
U.S. dollar trends to watch
Following the FOMC meeting, the U.S. Dollar Index will gain new energy and rise to fresh multi-day highs near 105.70.
At the same time, the good health of the U.S. economy continues to provide support for the dollar, and the Federal Reserve’s stance of “keeping interest rates higher in the long term” seems to also provide support for the dollar.
The main events in the United States this week: initial jobless claims, Philadelphia Fed index, Conference Board leading index, existing home sales (Thursday) – preliminary manufacturing/services PMI value (Friday).
Key Topics: The ongoing debate over a soft or hard landing for the U.S. economy. Initial speculation of a rate cut in early 2024. Geopolitical implications for Russia and China.
