XE Market Analysis: Asia – May 25, 2021

The Dollar found a modicum of support in N.Y. trade on Tuesday, though moved up from fresh four-plus month lows. The DXY bottomed at 89.54 in London morning, later rallying to 89.85 in early afternoon. Incoming U.S. data was disappointing, seeing new home sales slip more than expected, consumer confidence missing the mark, and the Richmond Fed index improving slightly, as expected. The Dollar’s move higher came despite the data, and softer Treasury yields, and appeared to have been driven by short covering from new trend lows.