Following the U.S. Dollar's bullish session in trading last week, it appears that the greenback is set for another strong week against its major counterparts. A bank holiday in the U.S. today likely means that any Dollar movements will be determined by non-U.S. news.
Persistent Euro-zone deficit worries could give the Dollar a significant boost against EUR. In addition, further tightening of Chinese monetary policy is predicted to slow down the global economic recovery. These will likely drive investors to the save haven Dollar.
This week is full of different American economic indicators likely to impact the USD. The release of meeting minutes from the most recent Federal Reserve meeting, as well as a housing starts report are two events predicted to give the greenback a boost. As for today, the Dollar has yet to make any major moves against its counterparts. Traders may be wise to take a wait and see approach to see where the market is heading.