The days of the upward dollar drift are over
The FOMC Minutes are due at 2 pm ET (1800 GMT) and I suspect they might have a hawkish tilt but the market appears to feel otherwise. That makes sense with US dollar positions crowded to the long side and feeling skittish about the Fed and the US economy.
The dollar index has been in a steady grind lower since non-farm payrolls and is now pressing against the trendline from the Aug-September lows.
I wrote about the Australian dollar earlier and now it's in comfortably positive territory as it extends to 0.7229.
Cable is also climbing back nicely after the BOE-inspired losses earlier. I had been holding a GBP/USD long but cut it yesterday at the US close. I'm thinking about buying it back but will wait until after the FOMC minutes.
