US Dollar is the strongest currency at the beginning of the week, increasing yields support 'greenback' 💵
The beginning of the week brings a clear strengthening of the dollar. EURUSD is reporting well below 1.10 and now even the Japanese yen is losing against the US currency. Looking at the dollar index, we are currently seeing a test of the 1-month peak, but there is only a slight movement above 103.3 for the index to score the highest levels since June. At the same time futures contracts on GOLD are erasing gains from last few weeks and are traded near important $1900 level.
What's more, yields are likely to be at their highest levels since November 2022 today, at 4.2% for the 10-year bond! The last time yields were at this level, the dollar index rate was at 112. Equally important, the dollar index may be preparing to break the downward trend line. This week, the greatest volatility on the index may occur on Wednesday during the publication of the Fed minutes of the last July meeting. 
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile appSource: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
