Dollar Strengthens as US Outperforms Major Economies

The US Dollar continues to gain strength as it extends its lead against major currencies. According to Brown Brothers Harriman's (BBH) Elias Haddad, this is due to the positive economic data and policy dynamics in the United States.

The September S&P Global PMI readings are expected to confirm the US growth leadership over the Eurozone, UK, and Japan. This suggests that the US economy is still performing well compared to its peers.

A scheduled US Treasury buyback operation in the 20-30 year sector may help steady long yields, but lasting relief will require lower oil prices. Brent crude oil prices have firmed up after a five-day drop and are currently holding just under $100 a barrel.