The dollar starts the week on its cyclical highs. Economists at ING expect the US Dollar Index (DXY) to establish above the 100 level.
Investors to hold onto long dollar positions over the forthcoming Easter break
“The DXY’s move up remains very much driven by surging inflation and the fact that the Fed looks prepared to deal with it through 'expeditious' normalisation of monetary policy”.
“With much uncertainty in the global economy, we suspect investors will be happy to hold onto long dollar positions over the forthcoming Easter break, and we think DXY has a chance of securing a foothold over 100.”