Post #15787

Dollar Tests Key Resistance as Markets Await Jobs Data DXY is pressing into a key resistance zone near 98. This area could act as a ceiling in the near term, with price likely to stall or react unless fresh bullish catalysts emerge. The dollar is holding near two-week highs despite softer labor signals, including job openings falling to a five-year low. Markets are looking past that weakness for now, focusing instead on the upcoming Nonfarm Payrolls report and a broader risk-off tone after the sharp tech-led equity selloff tied to AI spending concerns. Kevin Warsh’s nomination as Fed Chair has also supported the greenback, as traders expect a more restrictive policy bias and firmer defense of central bank independence. Rate markets are not fully pricing the next Fed cut until June, which keeps yield support under the dollar. If jobs data comes in resilient, the dollar could attempt to break above resistance; a miss would challenge this recovery. - Alan