XE Market Analysis: Asia – Feb 23, 2021

The DXY was a bit choppy on Tuesday in N.Y., though inside a narrow trading band of 90.26 to 90.01 through the session after printing better than one-month lows of 89.94 in Asia. The USD revealed some safe-haven characteristics through the session, generally rising as Wall Street was hammered lower early on firmer yields and inflation concerns, later moving lower as Fed Chair Powell painted a dovish picture in his testimony to the Senate Banking Committee, which allowed stocks to pare losses. The major take-away from Powell was that there is no change in the Fed’s stance.