US Dollar: forecast for January 25-31
By Kira Iukhtenko
Last week the USD index has recovered some ground and approached the 100 points figure. Demand for risk increased after the ECB meeting on Thursday. As a result, the US Dollar strengthened versus the euro, yen and Swiss franc. However, the greenback weakened versus the commodity block currencies. The next week will likely show whether this move is a short-lived correction of a trend-changer.
On Wednesday, January 27th, the Fed will hold its regular policy meeting. There will likely be no rate hike announced, no press-conference is scheduled as well. Watch the US Q4 GDP on Friday. Economy rose by 2% in Q3, but economists expect the figures to have worsened during the last quarter of the year. The news could hurt the US currency.