US Dollar Index keeps the daily range below 93.00

• DXY’s bull run falters ahead of 92.80 on Monday.
• US 10-year yields remain side-lined around 1.30%.
• Housing data, Dallas Fed Index come up next.

The greenback alternates gains with losses in the vicinity of the 92.80 area when measured by the US Dollar Index (DXY) on Monday.

US Dollar Index remains vigilant on data

The index navigates within a tight range amidst month-end flows and consolidative yields while market participants continue to adjust to the recent message from Chief Powell at the Jackson Hole virtual event.

Indeed, yields of the key US 10-year reference so far extend the consolidation around the 1.30% level, some 5 bps lower than moments before Powell delivered a cautious statement on Friday.

The greenback is now expected to trade mostly in a rangebound fashion at least in the sessions prior to the release of the Nonfarm Payrolls (Friday), which are now seen critical for a potential announcement around QE tapering at the September FOMC meeting.

Later in the NA session, Pending Home Sales are due seconded by the manufacturing gauge released by the Dallas Fed.

US Dollar Index relevant levels

Now, the index is gaining 0.06% at 92.73 and a break above 93.72 (2021 high Aug.20) would open the door to 94.00 (round level) and then 94.30 (monthly high Nov.4 2020). On the other hand, the next down barrier is located at 92.59 (low Aug.30) followed by 92.47 (low Aug.13) and finally 91.78 (monthly low Jul.30).