US Dollar hits session high while US data keeps going strong

At the beginning of the US session this Monday, the US Dollar (USD) reacted swiftly, spurred by higher-than-anticipated US Retail Sales across the board. Initially, the Greenback experienced some downward pressure as markets veered away from safe-haven assets following Iran’s statement indicating no intent to escalate tensions in the Middle East. Now, market participants are carefully evaluating all factors to gauge whether the US Dollar Index will revisit this year’s highs.

Regarding economic indicators, all US data released on Monday reaffirmed the country’s exceptional performance. Meanwhile, John Williams, the new President of the New York Federal Reserve, noted on Bloomberg television that the recent US Consumer Price Index (CPI) wasn’t a pivotal moment prompting the Fed to reconsider its stance. This perspective assumes significance ahead of US Federal Reserve Chairman Jerome Powell’s scheduled speech on Tuesday.