US Dollar trades lower following ISM and ADP reports, Powell comments

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US Dollar trades lower following ISM and ADP reports, Powell comments
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The US Dollar Index (DXY) is currently trading at 104.3, reflecting a daily decline.

ISM Services PMI figures from March were weaker than expected. ADP numbers were strong. The odds of an interest rate cut somewhat increased for the June Fed meeting. The focus is set on Friday’s Nonfarm Payroll report. The US Dollar Index is currently trading at 104.3, reflecting a daily decline. Despite the Federal Reserve's cautious stance, consensus forecasts indicate that the beginning of the easing cycle will begin in June.

Still, on an encouraging note, the index continues to trade above the critical support levels dictated by its 20, 100, and 200-day Simple Moving Averages . Despite a short-term negative outlook, this notably upbeat stance suggests that the bulls are still in control over the longer horizon.

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