Dollar and G10 FX: DXY, Euro, Sterling Daily — 2026-09-23
The dollar pushed above the 100 mark in the DXY and hit a near two-month high as hawkish Fed expectations and a bond-market selloff lifted yields across the curve. EUR/USD slipped to its weakest since late July near 1.14 while sterling fell over 0.7% after strong US data. Oil's jump on Iran-related supply concerns added an inflation twist that reinforces the Fed-tightening narrative.
Dollar and G10 FX: DXY, Euro, Sterling Daily — 2026-09-23
Top developments
DXY clears 100 for the first time in two months
The US dollar index rallied to its highest level in nearly two months on Wednesday, Sept 23, as investors priced in a near-term Federal Reserve rate hike, while oil jumped after Iran cast doubt on progress in peace talks — a mix of hawkish Fed bets and inflation risk that supports the greenback. Dollar strength also lifted USD/JPY back above 158, as strong US data pushed Treasury yields sharply higher.
EUR/USD hits lowest since late July
The euro fell to its deepest level since the end of July, around 1.1423–1.1436, pressured by Fed rate-hike expectations and an energy-driven inflation outlook. German-language coverage notes EUR/USD at 1.1411 in Wednesday's session, down about 0.45%, with PMI and Ifo data the next catalysts. Forex.com notes the pair has fallen nearly 0.6% over three sessions as expectations of a more restrictive Fed limit euro recovery.
Sterling cracks as bonds "implode" and US growth data surprise
GBP/USD tanked over 0.70% on Wednesday, trading at 1.3253 after peaking at 1.3347, as US business activity data showed momentum and fears of a US diesel export ban pushed crude higher. The slump in bond markets, with yields breaking out across the curve, underpinned the dollar deep into the European session, keeping the short-term GBP/USD forecast bearish.
Dollar strength overshadows a eurozone "boom"
Wednesday's dollar rally is notable because it came even as eurozone data improved — commentary flags that US dollar strength is overshadowing a eurozone boom, worsening the dollar-negative rate-differential backdrop for EUR/USD into the ECB cycle.
Local view
- German media: it-boltwise reports the euro's slide to its lowest since end-July ($1.1423) on Fed rate expectations and an inflation outlook driven by energy prices, with today's PMI and Ifo prints next in focus. ARIVA.DE likewise headlines "Euro fällt auf tiefsten Stand seit Ende Juli" (Sept 23).
- Japanese media: Minkabu's NY wrap notes the dollar recovered the 158-yen level as Treasury yields jumped on strong US indicators, and describes a clearly bearish stance against the euro. Diamond Online discusses the yen's wild swings — from over 160 in early September to a 152.89 spike on Sept 8 — and whether unwinding carry trades has ended.
- French media: BFM Bourse's research team describes the single currency in "precarious equilibrium" against a dollar boosted by a resolutely restrictive Fed.
Context & numbers
- DXY above 100.00; FXEmpire cites 100.53 as the near-term target, supported by Fed tightening expectations.
- EUR/USD at ~1.1411–1.1436, lowest since late July.
- GBP/USD at ~1.3253 after a peak of 1.3347; intraday low vs dollar under down-0.7% pressure.
- USD/JPY opened the NY session at 157.39, high 158.40; EUR/JPY range 180.0–180.42.
- Options positioning: CFTC COT data (week to Sept 15/16) shows EUR/GBP combined futures open interest of 45,149 contracts with Euro FX longs around 24,468 — a modest build of ~2,918 longs week-on-week, suggesting long-euro crowd risk into the dollar rally.
On the radar
- Eurozone PMI finals and German Ifo following Wednesday's dollar-negative surprise — flagged by German outlets as the next EUR/USD catalysts.
- Oil momentum: US diesel export-ban fears and Iran's doubts about peace talks pushed crude higher — a fresh channel for US inflation expectations and Fed pricing.
- Next CFTC COT release Friday 3:30 p.m. ET will show whether long-euro positioning was cut into the dollar's break above 100.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
Powered by
