The dollar recovered from its lowest level in a month to consolidate above the 102 mark as investors reassessed the outlook of tightening monetary policy from the Federal Reserve. Minutes from the May meeting showed all participants backed a half-percentage-point interest rate increase to tame sky-high inflation while signaling similar-sized hikes are likely at its next two policy meetings in June and July. However, policymakers failed to provide a clear picture of the Fed's aggressive tightening path this year. Some backed an outright pause in rate increases this fall, while others advocated for a string of half-percentage-point hikes at the September, November, and December meetings. The most pronounced buying activity was against the euro, as investors took a breather after a recent rally that sent the single currency to levels not seen in a month.
Historically, the United States Dollar reached an all time high of 164.72 in February of 1985. United States Dollar - data, forecasts, historical chart - was last updated on May of 2022.
The United States Dollar is expected to trade at 96.06 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 97.33 in 12 months time.