Forex
DXY Stuck Below 200-Day SMA Ahead of PCE Price Index Release
The US Dollar Index (DXY) remains under pressure from bears, struggling to break above its 200-day Simple Moving Average (SMA), currently at 99.15.
Investors are cautious ahead of the upcoming Personal Consumption Expenditures (PCE) Price Index release and the Jackson Hole Symposium, which may impact USD investment decisions.
According to BNY strategists, US exposures have stabilized, with non-US investors no longer reducing their exposures. They advise watching dollar cash flows, FX hedging, inflation expectations, and US data for potential signs of a shift from tactical diversification to structural U.S. exposure reduction.