• Demand for the US Dollar has been surging since the start of the month, supported by the global risk off environment amid growing concerns over renewed sanctions on Russia.
• DXY index has been finding resistance at the 99.7290 level in the past two days after breaking above 99.42 this week (99.7290 represents the 76.4% Fibo retracement of the 89.21 – 102.98 range).
  • A break above that level would open the door for a move up to 100.
• To the exception of the PHP and IDR, all EM currencies are down in April.
• HUF remains the worst performing currency among the EM world, down 4.4% against the US Dollar as market has been pricing in renewed political tensions with the EU in the near to medium term following Orban’s victory over the week end.

Source: Bloomberg