{"id":23602,"date":"2025-08-11T13:19:57","date_gmt":"2025-08-11T13:19:57","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=23602"},"modified":"2025-08-11T13:19:57","modified_gmt":"2025-08-11T13:19:57","slug":"dollar-dips-before-key-cpi-and-tariff-news","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-eu\/analysis\/dollar-dips-before-key-cpi-and-tariff-news\/","title":{"rendered":"Dollar dips before key CPI and tariff news"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"536\" src=\"https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-1024x536.png\" alt=\"\" class=\"wp-image-23604\" srcset=\"https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-1024x536.png 1024w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-300x157.png 300w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-768x402.png 768w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-500x262.png 500w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-400x209.png 400w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-350x183.png 350w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11-200x105.png 200w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/16-11.png 1200w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<p>The US dollar is in a period of uncertainty, with markets awaiting key economic data and policy updates that could decide whether it regains strength or continues to weaken.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\"><strong>Dollar index struggles to find direction<\/strong><\/h2>\n\n\n\n<p>The US dollar index (USDX) continued its downward trend, slipping to 98.02, down 0.05% during the day following a 0.4% decline last week.<\/p>\n\n\n\n<p>Since reaching a peak near 110 in February, the index has dropped more than 10%, hitting a low of 95.97 in June.<\/p>\n\n\n\n<p>An attempted rebound in late July lost momentum, with the index now consolidating within a range bounded by support at 97.50 and resistance at 99.50.<\/p>\n\n\n\n<p>The 30-day moving average is currently acting as a ceiling, limiting any upward movement.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"450\" src=\"https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-1024x450.jpeg\" alt=\"\" class=\"wp-image-23603\" srcset=\"https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-1024x450.jpeg 1024w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-300x132.jpeg 300w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-768x337.jpeg 768w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-500x220.jpeg 500w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-400x176.jpeg 400w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-350x154.jpeg 350w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4-200x88.jpeg 200w, https:\/\/www.vtmarkets.com\/en-eu\/wp-content\/uploads\/sites\/33\/2025\/08\/image-4.jpeg 1280w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>Picture: USDX retreats to 98.021, testing key support levels after extended decline from 109+ highs, with MACD showing mixed signals on the <a href=\"https:\/\/apps.apple.com\/au\/app\/vt-markets-online-trading\/id1372647263?mt=8\" target=\"_blank\" rel=\"noopener\" title=\"VT Markets app\">VT Markets app<\/a>.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p>The daily MACD indicator has flattened close to the zero line, signalling that downward pressure is easing but with no clear signs of a bullish reversal yet.<\/p>\n\n\n\n<p>Market participants seem hesitant to commit to large directional trades ahead of the <a href=\"https:\/\/www.bls.gov\/news.release\/cpi.nr0.htm\" target=\"_blank\" rel=\"noopener nofollow\" title=\"US July Consumer Price Index (CPI) report\">US July Consumer Price Index (CPI) report<\/a> on Tuesday.<\/p>\n\n\n\n<p>Should inflation data surprise to the upside, a rally towards the key 100.00 psychological level could follow, whereas a softer reading may lead to a test of the June lows once more.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\"><strong>Markets await key data and policy developments<\/strong><\/h2>\n\n\n\n<p>This week\u2019s economic and geopolitical developments are set to shape the dollar\u2019s near-term direction.<\/p>\n\n\n\n<p>The upcoming US CPI figures will influence expectations around the Federal Reserve\u2019s monetary policy decisions, while the August 12 deadline for US-China tariff talks adds pressure to global trade relations.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Stocks and currencies in developing markets are moving higher, bolstered by a weaker dollar as traders focus on data in the US which could further cement bets on interest-rate cuts by the Federal Reserve <a href=\"https:\/\/t.co\/OL363mmlat\">https:\/\/t.co\/OL363mmlat<\/a><\/p>&mdash; Bloomberg (@business) <a href=\"https:\/\/twitter.com\/business\/status\/1954778569323798580?ref_src=twsrc%5Etfw\">August 11, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<p>Recent news that Nvidia (NVDA) and AMD (AMD) have agreed to contribute 15% of their China revenue to the US government might ease tensions and increase the likelihood of a 90-day extension on tariffs.<\/p>\n\n\n\n<p>On the geopolitical scene, a Russia-US summit planned for Friday introduces further uncertainty.<\/p>\n\n\n\n<p>In parallel, the cryptocurrency market surged after <a href=\"https:\/\/www.reuters.com\/business\/finance\/trumps-401k-order-offers-retirement-savers-crypto-private-assets-also-higher-2025-08-10\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"President Trump\u2019s executive order\">President Trump\u2019s executive order<\/a> allowed cryptocurrency holdings in US retirement accounts, with Bitcoin rising 3% to $121,909 and Ether gaining 2.1% to $4,307.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\"><strong>A cautious market outlook<\/strong><\/h2>\n\n\n\n<p>With the USDX hovering near multi-month lows and heightened volatility risk, short-term price action will largely depend on inflation data and trade-related announcements.<\/p>\n\n\n\n<p>A daily close above 99.50 would mark the first break above the 30-day moving average since May, potentially signalling a momentum shift.<\/p>\n\n\n\n<p>Conversely, failure to maintain support at 97.50 could intensify selling pressure, pushing the index back down towards the June low of 95.97.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p>Click <a href=\"https:\/\/www.vtmarkets.net\/trade-now\/?utm_campaign=account_c&amp;utm_source=dma&amp;utm_medium=website\" target=\"_blank\" rel=\"noopener\" title=\"here\">here<\/a> to open account and start trading.<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The US dollar is in a period of uncertainty, with markets awaiting key economic data and policy updates that could decide whether it regains strength or continues to weaken. Dollar index struggles to find direction The US dollar index (USDX) continued its downward trend, slipping to 98.02, down 0.05% during the day following a 0.4% <a href=\"https:\/\/www.vtmarkets.com\/en-eu\/analysis\/dollar-dips-before-key-cpi-and-tariff-news\/\" class=\"read-more\">Continue Reading<\/a><\/p>\n","protected":false},"author":5,"featured_media":23604,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37],"tags":[],"class_list":["post-23602","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/posts\/23602","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/comments?post=23602"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/posts\/23602\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/media\/23604"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/media?parent=23602"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/categories?post=23602"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-eu\/wp-json\/wp\/v2\/tags?post=23602"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}