#us-dollar-strength

#us-dollar-strength

Part of the reason may lie in the fact that geopolitical risks had already been significantly priced in earlier. Prior to the correction, gold had risen for four consecutive weeks, pushing prices close to $5,420/oz and creating conditions for investment funds as well as retail traders to take profits, thereby triggering a sharp short-term pullback.

USDJPY touched 159.3 during the Asian session this morning, breaking above its 52-week high. This move is neither random nor purely technical; instead, it reflects a deeper shift in how the market is reassessing the relative strength of the U.S. dollar versus the Japanese yen. On the U.S. side, the strength of the dollar, with the DXY rising toward 98.8 - was reinforced after the latest inflation data failed to deliver the kind of cooling surprise markets had hoped for.