The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, trades 0.1% lower to near 99.20 during the Asian trading session on Wednesday.
In a recent analysis by UBS, Paul Donovan discusses the implications of the latest US Retail Sales data, which showed slight softness. Donovan emphasizes the importance of understanding the context of these numbers, particularly in light of inflation effects.
The US Dollar (USD) has declined since Monday, in line with our call. While there are some signs that Ukraine peace deal optimism is supporting European currencies, short-term misvaluation justifies a dollar correction.