The dollar index (DXY00) today fell to a 1-week low and is down by -0.30%. The dollar is moving lower today on some carryover pressure from Thursday, when a report from Challenger showed US job cuts in October surged by 175% y/y, the most in 22 years, bolstering the outlook for the Fed to keep cutting interest rates. Losses in the dollar accelerated today after the University of Michigan US Nov consumer sentiment index fell more than expected to a nearly 3.5-year low.
The dollar is still under pressure from the ongoing US government shutdown. The longer the shutdown is maintained, the more likely the US economy will suffer and the more likely the Fed will have to cut interest rates.
