USD

The US Dollar held just inside of 102 on Monday and then pulled back after CPI tomorrow. Bulls have so far held a higher-low but this puts a lot of emphasis on tomorrow’s economic calendar.

U.S. stocks point to a modestly higher open as investors pause for breath following a strong start to the week fueled by optimism surrounding the U.S.-China trade deal and cooler-than-expected inflation. US indices have rebounded strongly as the worst-case scenario for trade tariffs has passed and amid a de-escalating trade war with China.

U.S. stocks are set to open broadly higher after US inflation cooled by more than expected and as the market continues digesting the de-escalation of the U.S.–China trade war. US CPI cooled to 2.3% YoY, down from 2.4% in March, below expectations of 2.4%. This marked the slowest pace in inflation since spring 2021, and it was the third month in a row that inflation was cooler than expected.

Sr. Technical Strategist Michael Boutros highlights the levels that matter on the USD Majors, commodities & stocks into the weekly open.

U.S. stocks are set to open significantly higher as the US and China agreed to a deal to reduce tariffs, signaling a de-escalation in the trade war. The US will lower tariffs to 30%, down from 145%, and Chinese taxes on US imports will fall to 10% from 125%. These new measures will be effective for 90 days.

US Dollar is poised to mark a third weekly advance with the bulls holding resistance ahead of China trade talks. Battle lines drawn on the USD weekly technical chart.

U.S. stocks are set to rise modestly as investors react to Trump's comments ahead of trade talks with China this weekend and ongoing concerns about inflation. Trump said he considers 80% tariffs on China as a good place. This would be down from the current 145% level.

USD strength has continued in the aftermath of the FOMC press conference yesterday, and USD/JPY is looking especially strong with a test of fresh highs.

U.S. stocks opened higher on Thursday on news that the US was on the brink of signing a trade deal with the UK. Meanwhile, chip stocks added to gains on optimism of fewer export curbs on AI semiconductors. The Fed left rates on hold as expected but warned of higher inflation and higher unemployment due to tariffs.

U.S. stocks are set to open higher in hopes of a de-escalation in trade tensions between the US and China, and as investors await the Federal Reserve interest rate decision later today. The Fed is expected to leave rates unchanged at 4.25%-4.5%. Attention will be on Powell's presser. A hawkish lean could spook stocks.

The USD has tried to build a bounce over the past couple of weeks and the big question now is whether Chair Powell will fuel the rally at tomorrow’s FOMC rate decision.