US Dollar hovering over 91.80, session lows

The greenback, tracked by the US Dollar Index (DXY), remains on the defensive today around the 91.80/70 band, or daily lows.

US Dollar fades post-FOMC spike

The index keeps retracing the spike post-FOMC meeting to the vicinity of 92.70 on Wednesday. This time, the selling pressure seems in response to renewed threats from North Korea after the recent speech by President Trump at the UN and the expansion of sanctions on Thursday.

Collaborating with the buck’s decline, yields of the key US 10-year benchmark are retreating for the second consecutive session after briefly testing 5-week tops in the 2.29% neighbourhood on Wednesday.

On the US data front, Markit’s advanced manufacturing PMI for the month of September is only due, while KC Fed E.George (2019 voter, hawkish) and Dallas Fed R.Kaplan (voter, hawkish) are also due to speak later in the NA session.

US Dollar relevant levels

As of writing the index is retreating 0.36% at 91.81 and a break below 91.53 (low Sep.20) would open the door to 91.01 (2017 low Sep.8) and finally 87.63 (low Dec.16 2014). On the upside, the initial hurdle aligns at 92.22 (21-say sma) followed by 92.69 (high Sep.20) and then 93.26 (55-day sma).