US Dollar closer to 92.00 ahead of US ISM

• The greenback extends gains to the boundaries of the 92.00 handle.
• US 10-year yields bounce off lows, regain 2.96% area.
• US ISM Manufacturing coming up next in the NA session.

The greenback, measured by the US Dollar Index (DXY), keeps pushing higher today and trades at shouting distance from the key barrier at 92.00 the figure.

US Dollar looks to ISM

The index is advancing for the fifth consecutive session so far today, up for the third week in a row and prolonging the recent breakout of the 3-month consolidative range that was in play since mid-January.

Yields of the key US 10-year reference have climbed to multi-year peaks last week beyond the 3.0% level, in turn lending extra wings to the buck, although losing some ground afterwards.

The greenback remains supported by investors’ renewed shift to the Fed’s monetary policy and prospects of further tightening amidst a robust labour market, rising inflation and shrinking gap between the potential real GDP and the real GDP reading.

Looking ahead, the always-relevant manufacturing gauge from the ISM will be published later today along with Construction Spending figures and the weekly report on US crude oil supplies by the American Petroleum Institute.

US Dollar relevant levels

As of writing the index is up 0.05% at 91.89 and a break above 91.97 (200-day sma) would open the door to 92.52 (61.8% Fibo of 95.15-88.25) and finally 92.64 (high Jan.10). On the other hand, the next support emerges at 90.89 (38.2% Fibo of 95.15-88.25) followed by 90.98 (10-day sma) and then 89.95 (high Apr.20).