The dollar indicator finished last week with slim gains ahead of the Federal Put aside’s highly anticipated meeting this week, with investor expectations for advantage rate hikes providing some support.
The meeting will also be new Fed Chairwoman Jerome Powell’s first news conference.
Other factors in the mix catalogue a flurry of recent personnel changes at the White House, including top fiscal advisor Gary Cohn’s resignation.
The man tapped to be Cohn’s replacement, Larry Kudlow, told CNBC newest week that he favored a strong dollar and had “no reason to believe [President Donald Trump] doesn’t favor a characteristic and strong and steady dollar.”
Trade-related concerns in the market could also weigh on the currency in the longer arrange.
Investors are worried that recent tariffs implemented by Trump on steel and aluminum consequences could result in retaliatory actions from U.S. trading partners, involving China and the European Union.
As of Monday morning in Asia, the dollar needle was down around 2.07 percent so far this year and had declined 10.05 percent compared to one year ago.