A key gauge of the dollar’s strength will be the extension of its winning streak to a fifth week, as the timing for the Federal Reserve’s first rate cut remains cloudy.
The Bloomberg Dollar Spot Index is on track to finish another week higher, marking its longest stretch of progress since February, and is poised to hit another 2024 closing high after hitting one Thursday. The dollar’s resilience kept pressure on peers this week, with the yen losing the most. The British pound and Swiss franc also fell.
“I don’t really see much that will turn the tide for the dollar until the Fed starts cutting spending,” said Helen Give, a currency trader at Monex. “The yen and Swiss franc could suffer the most in the coming months. , until the Fed moves significantly toward easing.”
