The U.S. Dollar Index is on the rise following the release of the PCE Price Index report. The report revealed that the PCE Price Index rose to 2.7% in March from 2.6% in February, surpassing the expected 2.5% forecast. Additionally, the Core PCE Price Index increased to 2.8%, meeting analyst predictions. These numbers suggest that inflationary pressures are still present, which is seen as a positive sign for the U.S. dollar. As a result, the Federal Reserve may need to take a more aggressive stance to combat inflation.
At the moment, the U.S. Dollar Index is attempting to break above the resistance level at 105.75 – 106.00. If successful, the index is expected to move towards the next resistance level between 107.10 – 107.35. This indicates a potential upward trend for the U.S. dollar in the near future.