US Dollar unchanged around 97.50

The greenback, gauged by the US Dollar Index, stays almost unchanged on Friday around weekly tops in the mid-97.00s.

US Dollar attention to data

The index is looking for direction in the upper bound of the weekly range, well above the 97.00 handle and posting gains for the second week in a row, including a rebound from 2017 lows near 96.30 (Tuesday).

The hawkish tone from the FOMC on Wednesday helped the buck to leave the area of multi-month lows around 96.30 and to quickly forget the lackluster results from May’s inflation figures.

Later in the week, auspicious results from the US labour market and regional gauges from the manufacturing sector lent extra support to the buck.

In the meantime, yields in the US money markets, particularly the 10-year reference are extending the rebound after the CPI-led drop to levels last seen in November 2016 near 2.10%.

In the US data space, housing starts and building permits are due along with the speech by Dallas Fed R.Kaplan (voter, hawkish) and the advanced gauge of the Reuters/Michigan index for the month of June.

US Dollar relevant levels

The index is losing 0.03% at 97.47 and a break below 96.31 (2017 low Jun.14) would target 95.91 (low Nov.9 2016) and then 94.95 (low Sep.22 2016). On the upside, the next up barrier at 97.63 (38.2% Fibo of the May-June drop) followed by 97.70 (high May 30) and then 98.04 (50% Fibo of the May-June drop).