Is the US dollar rally over?
US dollar was hurt by a range of negative news on the past week. As a result, possibility of the Fed’s rate hike in June has once again come under question. According to the most recent Wall Street Journal poll, 65% of surveyed economists expect the first hike to come in September. Such projections limit the bullish USD prospects in the coming weeks.
The most important question today is whether the first quarter economic slowdown is seasonal or will become a trend. We need to see the April data to get the answer. On the new week the US economic calendar is rather light. On Monday watch the existing home sales, on Thursday - April manufacturing PMI and on Friday – core durable goods orders.