The dollar index edged up to 93.3 on Friday after falling to 93.1 early in the session and is on track to end the week little changed as investors digest the latest FOMC statement and prospects of slower growth. The Federal Reserve lowered its growth projections for 2021 and raised inflation forecasts but reinforced tapering could soon begin. The central bank also signalled interest rate hikes could follow earlier than expected but left the door open to more stimulus if the economy needs it. On the data front, initial claims rose for a 2nd week and flash Markit PMIs came below forecasts, in another sign the delta variant and supply constraints continue to hurt the economic recovery.
Historically, the United States Dollar reached an all time high of 164.72 in February of 1985. United States Dollar - data, forecasts, historical chart - was last updated on September of 2021.
The United States Dollar is expected to trade at 96.06 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 97.33 in 12 months time.