OctaFX | OctaFX Forex Broker
Open trading account

Dollar Index refreshes four-month highs

  • Dollar Index prints a high of 99.14 to hit the highest level since mid-October. 
  • The greenback continues to attract safe-haven flows amid coronavirus scare and growth concerns. 

The dollar index, which tracks the value of the greenback against most majors, has risen to a fresh four-month high of 99.14, surpassing the previous high of 99.11 reached on Thursday. 

The greenback continues to attract haven flows amid the signs of a slowdown in the Eurozone and increased fears of global growth slowdown due to coronavirus outbreak. 

More importantly, the US economy looks to be on a stable footing, as highlighted by last week's Nonfarm Payrolls report. The data showed the economy added 225K jobs in January, beating the Wall Street estimates for a 158K gain by a big margin. Further, average hourly earnings rose 3.1% over a year ago, beating the estimate for 3% growth. 

Focus on Eurozone and US data

The German data due at 07:00 GMT is expected to show the economy expanded by 0.1% quarter-on-quarter in the final three months of 2019. Meanwhile, the Eurozone GDP for the fourth quarter is expected to come in at an unchanged quarter-on-quarter reading of 0.1%. 

A weaker-than-expected German GDP would bolster recession fears, boosting haven flows into the US dollar. 

The dollar may also find love if the US January retail sales, due at 13:30, better the estimated growth of 3%. Post-retail sales, the focus would shift to the Industrial Production data. 

Technical levels


China’s NHC reports 5,090 new coronavirus cases for Thursday

China’s National Health Commission (NHC) releases the official figures of the new coronavirus cases confirmed for mainland China as of end February, 1
Read more Previous

South Korea Money Supply Growth came in at 7.5% below forecasts (7.8%) in December

South Korea Money Supply Growth came in at 7.5% below forecasts (7.8%) in December
Read more Next
Start livechat