The US Dollar (USD) outperforms its major currency peers on Thursday. In the Asian session, the US Dollar Index (DXY), which gauges the Greenback’s value against six major currencies, trades 0.13% higher to near 101.60. The DXY is little far from its yearly high of 101.80.

TD Securities economists Oscar Munoz and Eli Nir assess US PCE and GDP revisions as broadly supportive for a firm US macro backdrop and a still-hawkish Federal Reserve stance. They highlight robust US growth, sticky inflation and upgraded GDP forecasts, arguing that lower inflation revisions do not materially alter the narrative for the US Dollar or Fed policy expectations.

The 10-year Treasury yield rose to near 5.30% on Wednesday, its highest since 2007, on the same day US inflation came in under forecast. The Dow Jones Industrial Average rallied on the inflation release, faded for the rest of the session and closed on its low, just under 51,000.

The US Dollar (USD) has traded with marginal gains, coming under pressure following daily tops near 101.50 as investors have evaluated the softer-than-expected PCE data in August while trimming some bets on extra tightening by the Federal Reserve in the following  months.

The US Dollar (USD) is showing a moderately softer tone on Wednesday, weighed down by the recent pullback in US Treasury yields and some dovish comments from New York Fed President John Williams.

Brown Brothers Harriman’s Elias Haddad notes the Dollar has eased from recent highs as lower Oil prices and comments from New York Fed President John Williams temper rate expectations. However, upcoming US August PCE and September ADP data are expected to show sticky inflation, stronger consumer spending and resilient labor demand, which BBH says should reinforce the Fed’s hawkish bias and support further USD strength.

DBS Group Research economist Eugene Leow assesses USD Rates ahead of the October FOMC meeting, noting investors see a near-even chance of a back-to-back Fed hike.

TD Securities’ TD Macro Research Insight argues the US Dollar rally is stretched against major currencies and is unlikely to break to new highs in current Fed hiking cycle. Month-end equity rebalancing flows, weaker-than-consensus US payrolls, and broadly short G10 FX positioning versus USD support a bearish Dollar regime, with risks from a potential US diesel export ban and geopolitical escalation.

Dow Jones futures gain by 0.39% to trade near 51,890 during European hours on Wednesday. Meanwhile, S&P 500 futures advance by 0.23% to trade around 7,750, while Nasdaq 100 futures rise 0.17% to trade near 30,660.

Commerzbank’s Thu Lan Nguyen notes EUR/USD has dropped to its lowest level since mid-2025 as Dollar strength is driven by rising US rate expectations and a higher probability of an October Fed hike than an ECB move.

The US Dollar (USD) trades slightly lower against its key currency peers on Wednesday. At press time, the US Dollar Index (DXY), which gauges the Greenbacks value against six major currencies, is down 0.11% to near 101.28. Still, the asset is close to its two-month high of 101.64.

ING strategists Francesco Pesole, Frantisek Taborsky and Chris Turner note the US Dollar remains strong despite softer US data, as rising long-dated US yields weigh on global risk sentiment and support the currency.

The US Dollar Index (DXY), an index of the value of the US Dollar (USD) measured against a basket of six world currencies, currently trades near 101.40 in the early European trading hours on Wednesday.

The US Dollar Index (DXY) extends gains on Tuesday, approaching its year-to-date high as expectations of further Federal Reserve (Fed) interest-rate hikes drive strong demand for the Greenback.

The US Dollar (USD) has accelerated its recovery, adding to the positive start to the week and clinching new multi-week tops, always helped by the persistent advance in US Treasury yields and unabated geopolitical concerns.

Brown Brothers Harriman’s Elias Haddad notes the Dollar is edging higher against major currencies, with the DXY index approaching its June 24 high near 101.80.

Dow Jones futures fall by 0.16% to trade near 51,750 during European hours on Tuesday. Meanwhile, S&P 500 futures inch lower by 0.03% to trade around 7,740, while Nasdaq 100 futures gain 0.12% to trade near 30,600.

Scotiabank’s Global FX Strategy team, led by Shaun Osborne and Eric Theoret, notes broad Dollar strength versus most G10 currencies, with focus on Oil, US yields and the Federal Reserve rate path.

DBS Group Research economist Eugene Leow analyses how rapidly rising US Treasury yields are complicating financing for the US government as the Federal Reserve hikes rates.

ING’s Francesco Pesole notes fading optimism on US–Iran talks and rising Oil prices are reinforcing support for the Dollar, with Brent near $107 and equities at risk from rapidly rising rates. He sees upcoming US consumer confidence and JOLTS data as key for Dollar direction.

Deutsche Bank’s Early Morning Reid notes that rising US yields and Oil prices are weighing on equities. The S&P 500 fell nearly 0.8%, led by larger declines in the Magnificent 7, while defensive sectors such as consumer staples and healthcare posted modest gains.

Commerzbank’s Volkmar Baur highlights that the US current account deficit remains large at about 3% of GDP and increasingly relies on foreign inflows into US stocks rather than bonds.

The US Dollar (USD) outperforms its peers amid firm expectations that the Federal Reserve (Fed) will deliver more interest rate hikes this year. At press time, the US Dollar Index (DXY), which gauges the Greenback’s value against six major currencies, trades 0.1% higher to near 101.25.

A software bug at Boeing (BA) cost the Dow Jones Industrial Average more points than a record $150 billion buyback at Nvidia (NVDA) put back. The index closed just under 51,500, handing back about two-thirds of Friday's rally.

Rabobank’s RaboResearch Global Economics & Markets FX Strategy team notes that USD net long speculative positions were broadly unchanged, with both longs and shorts rising modestly. The Federal Reserve raised its overnight policy rate by 25bp on September 16, matching expectations.

Elias Haddad at Brown Brothers Harriman argues the Dollar can keep benefiting from widening US-G6 rate differentials and higher US real yields.

Deutsche Bank’s Jim Reid and team note that the US Dollar was the strongest-performing G10 currency last week as Treasury yields surged and markets repriced a more hawkish Federal Reserve.

Dow Jones futures decline by 0.35% to trade near 51,970 during European hours on Monday. Meanwhile, S&P 500 futures fall by 0.47% to trade around 7,770, while Nasdaq 100 futures lose 0.97% to trade near 30,590.

ING strategists Francesco Pesole, Frantisek Taborsky and Chris Turner see the Dollar facing some near-term downside risks after a strong rally. They highlight upcoming US labour data and August PCE as key drivers for October FOMC rate expectations.

HSBC’s FX Viewpoint argues the broad US Dollar is likely to strengthen modestly in the near term as cyclical, political and structural forces turn more supportive.