{"id":17847,"date":"2025-03-07T03:43:40","date_gmt":"2025-03-07T03:43:40","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=17847"},"modified":"2025-03-07T03:43:40","modified_gmt":"2025-03-07T03:43:40","slug":"us-dollar-stagnates-near-four-month-low","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-latam\/analysis\/us-dollar-stagnates-near-four-month-low\/","title":{"rendered":"US Dollar Stagnates Near Four-Month Low"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-latam\/wp-content\/uploads\/sites\/23\/2026\/03\/usd5-1024x559.png\" alt=\"\" class=\"wp-image-16972\" \/><\/figure>\n\n\n\n<p><strong>Key Points:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The U.S. Dollar Index (USDX) dropped to 104.07<\/strong>, hovering near a four-month low as shifting U.S. tariff policies spurred uncertainty.<\/li>\n\n\n\n<li><strong>The euro climbed to 1.0803<\/strong>, marking a strong four-day rally as European bond yields surged on Germany\u2019s stimulus plans.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\" \/>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Dollar Weakens as Market Awaits U.S. Jobs Data<\/h2>\n\n\n\n<p>The <strong>U.S. dollar index (USDX) closed at 104.07 on Friday<\/strong>, reflecting continued downward pressure as <strong>concerns over U.S. trade policies and growth prospects intensified<\/strong>. The dollar struggled to gain footing despite temporary tariff exemptions announced by <strong>U.S. President Donald Trump<\/strong>, which provided little relief for traders.<\/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\">Trump&#39;s tariff comments ignited panic and anxiety at a regularly-scheduled shipping conference in Long Beach, California, this week <a href=\"https:\/\/t.co\/hYFIMQzKNx\">https:\/\/t.co\/hYFIMQzKNx<\/a><\/p>&mdash; Bloomberg (@business) <a href=\"https:\/\/twitter.com\/business\/status\/1897788134655426683?ref_src=twsrc%5Etfw\">March 6, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>A <strong><a href=\"https:\/\/t.co\/lW7A8K946s\">one-month extension on auto import tariffs<\/a><\/strong><strong> for Canada and Mexico<\/strong> led to a muted response in FX markets, while broader <strong>fears of slowing U.S. growth kept dollar bulls cautious<\/strong>. Traders turned their attention to the upcoming <strong><a href=\"https:\/\/t.co\/fHjeoiZEdB\">U.S. non-farm payrolls report<\/a><\/strong>, seeking confirmation of whether the economy is cooling further.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Analysis<\/h2>\n\n\n\n<p>The <strong>US Dollar Index (USDX)<\/strong> is down <strong>0.18%<\/strong>, reflecting continued weakness. The price <strong>opened at 104.264 and closed at 104.076<\/strong>, after reaching a <strong>high of 104.181<\/strong> and a <strong>low of 104.049<\/strong>. The <strong>moving averages (5, 10, 30) are sloping downward<\/strong>, confirming a prevailing bearish trend, though recent price action suggests potential stabilization. The <strong>MACD is slightly improving<\/strong>, indicating that selling pressure may be easing.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-latam\/wp-content\/uploads\/sites\/23\/2025\/03\/image-1-6-1024x452.jpeg\" alt=\"\" class=\"wp-image-17848\" \/><\/figure>\n\n\n\n<p class=\"has-text-align-center\"><em>Picture: USDX steadies near 104.08 after extended bearish pressure, as seen on the <\/em><em><a href=\"https:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WAhttps:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WAhttps:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WAhttps:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WA\">VT Markets app<\/a><\/em><\/p>\n\n\n\n<p>For a possible recovery, <strong>USDX needs to break above 104.20<\/strong>, which could trigger a move toward <strong>104.50-104.70<\/strong> resistance levels. On the downside, <strong>support is found at 103.70<\/strong>, and a break below could accelerate losses toward <strong>103.50<\/strong> or lower. Traders should monitor <strong>Federal Reserve commentary, U.S. economic data, and global risk sentiment<\/strong>, as these will heavily influence the dollar\u2019s direction.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Market Expectations for the U.S. Jobs Report<\/h2>\n\n\n\n<p>Economists forecast the <strong>U.S. <\/strong><strong>economy<\/strong><strong> added <\/strong><strong><a href=\"https:\/\/www.cnbc.com\/2025\/03\/06\/the-pivotal-february-jobs-report-is-out-friday-heres-what-to-expect.html\">160,000 jobs in February<\/a><\/strong>, compared with <strong>143,000 in January<\/strong>, while the <strong>unemployment rate is expected to remain at 4.0%<\/strong>.<\/p>\n\n\n\n<p>On Thursday, <strong>job cuts announced by the U.S. <\/strong><strong><a href=\"https:\/\/www.reuters.com\/markets\/us\/us-announced-job-cuts-surge-245-february-federal-government-layoffs-2025-03-06\/\">federal government reached 62,242<\/a><\/strong>, contributing to a <strong>172,017 increase in planned layoffs across multiple sectors<\/strong>\u2014figures not seen since the last two recessions.<\/p>\n\n\n\n<p>Federal Reserve Chair <strong><a href=\"https:\/\/www.wsj.com\/livecoverage\/stock-market-today-dow-sp500-nasdaq-live-03-06-2025\/card\/jobs-report-powell-tariff-drama-aside-here-are-key-events-to-watch-thursday-friday-c6tDJFoMltD8H956zuUW\">Jerome Powell<\/a><\/strong><strong> is set to speak later today<\/strong>, and traders have priced in <strong>77 basis points of Fed rate cuts<\/strong> for 2025, with markets closely watching the jobs report for signs of further economic slowdown.<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a><\/strong><strong> and <\/strong><strong><a href=\"https:\/\/myaccount.vtmarkets.com\/login\">start trading<\/a><\/strong><strong> now.<\/strong><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The US dollar struggles near a four-month low as shifting tariff policies and economic concerns weigh on sentiment. &#8211; vtmarkets.com<\/p>\n","protected":false},"author":2,"featured_media":21398,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[44],"tags":[47],"class_list":["post-17847","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-dollar"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/posts\/17847","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/comments?post=17847"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/posts\/17847\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/media\/21398"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/media?parent=17847"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/categories?post=17847"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/tags?post=17847"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}