It’s been a fairly quiet start to the week for the dollar, which saw very little movement. Federal Reserve Vice Chair William C Dudley helped relieve market sentiment slightly by announcing interest rates could still rise while the central bank is reducing debt levels.
Markets will also be keeping a close eye on any geopolitical tensions in relation to Syria and, although not necessarily dollar-specific, the developments on the Korean peninsula.
Data out later this week is going to be more related to consumer spending: retail sales for March and consumer sentiment for April, which is forecast to increase slightly. However, it is unlikely that we’ll see any major movements as long as they fall roughly in line with expectations, so the impact on the US dollar should be fairly subdued.