Forex
Dollar Consolidation Ahead as Global Equities Rise
The US Dollar is expected to consolidate in a narrow range of 96.00-100.00, according to Brown Brothers Harriman's (BBH) Elias Haddad.
Haddad notes that the dollar's rally from May has likely ended, with global equities rising and oil stabilizing.
The focus today is on US data releases, including ISM Services Prices Paid and ADP payrolls, which are seen as more sensitive to inflation than employment.
The July ADP private payrolls report is expected to show resilient labor demand, with a consensus of +65k jobs added vs. +98k in June.
Meanwhile, the July Services ISM is predicted to show solid growth momentum, but the Prices Paid index may ease to a five-month low at 65.0, signaling diminishing upside risk to inflation.